2017 Spring Budget & Class 4 NICMar. 18, 2017, 7:07pm
One of the significant announcements in last week’s Budget was the proposed increase in the main rate of Class 4 National Insurance contributions (NICs) for the self employed. The government had announced that the main rate of Class 4 NICs was to be increased from 9% to 10% from April 2018 and from 10% to 11% from April 2019.
Chancellor of the Exchequer Philip Hammond and Prime Minister Theresa May have confirmed that these increases will not now take place and that there will be no increase in NICs rates this Parliament.
We reported the proposed increases as part of our Budget Summary.
The government propose to make further announcements following the forthcoming report by Matthew Taylor on the implication of different ways of working for employment rights.
Announcements are expected to be made in the Autumn Budget on how the cost of the changes will be funded. We will of course update our blogs when further details are available.
In the meantime, if you have any queries or wish to discuss this matter further then please do contact us.