Government's NIC U-turn has industry thinking longer-term

While some were quick to pick up on the relief the decision will offer the self-employed in the short run, others were more concerned about what it meant in the longer term for the pension funding of those same self-employed and also for how the broader tax system may be balanced between them and employees. Chancellor Philip Hammond had told parliament in his Budget speech last Wednesday that Class 4 NI contributions for the self-employed would rise from 9% to 10% in 2018 and then by a further percentage point to 11% in 2019. He explained the rate hike was being introduced in an effort t...