When questioned if he was going to break a pledge by raising the tax for employers in the budget for October 31, the prime minister would only respond that Labour’s manifesto promised not to raise national insurance “for working people.”
He told the news, “We made it quite clear in the manifesto that we would not be raising taxes on working people.
“Our platform makes it abundantly evident that we did not want to increase taxes on working people.
“I’ll talk about the commitments we made in our manifesto. We will fulfill those commitments.
Contributions to national insurance are the second-largest in the UK.
The Institute for Fiscal Studies (IFS) estimates that in 2024–2025, they will raise just under £170 billion, or roughly a sixth of all tax revenue.
Employees and independent contractors pay them from their wages, and employers pay them from their employees’ earnings—at a rate that is higher than what employees pay.
Employers do not pay national insurance on employee pension contributions, which experts have suggested could be a target.
