Budget 2011: NI/income tax merger expected by actuaries

The idea of merging income tax and NI to create a basic tax of 32% has been recommended by the Office of Tax Simplification (OTS), and speculation is growing as to whether it will be mentioned in tomorrow's Budget. Malcolm McLean, consultant at actuarial firm Barnett Waddingham, says all signs point to the policy being adopted. "The reasons why it has not happened previously are probably more political than anything," says McLean, pictured. "There are certainly a few obstacles to overcome and any changes may have to be phased in over the longer term and not immediately." Ros Alt...