Advisers and financial services experts say that the increase National Insurance (NI) tax provides some clarity on social care and NHS issues, but will increase financial vulnerability, especially for younger workers.
Prime Minister Boris Johnson's plans to increase NI payments by 1.25% from April next year were laid out in full yesterday (7 September) during an address to the House of Commons. In order to raise a desired total of £36bn in funds to address longstanding issues in the social care sector and the strain put on the NHS by the Covid-19 pandemic, the "health and social care levy" will affect all those earning over £9,678 per year and will include people over the state pension age that are still in work. Alistair Black, head of industry change at abrdn, said that while the decision to incr...
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