The UK government raised the rate of National Insurance (NI) by 1.25 percentage points as of Wednesday 6 April, a measure being undertaken to raise £12bn in funding to support the NHS and social care.
But the hike’s introduction – which breaks a key Conservative Party manifesto pledge from the 2019 general election – coincides with a deepening cost of living crisis, the worst inflation Britain has seen in 30 years and a 54% hike in Ofgem’s energy price cap, adding almost £700 per year to average domestic electricity and gas bills.
With household finances already under significant duress, here’s what the changes to NI mean for you:
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