Following the 2023 Autumn Statement, the National Insurance Contributions (Reduction in Rates) Act 2023 delivered a reduction in Class 1 National Insurance contributions (NIC’s) on earnings between £242.00 and £967.00 per week (£1,048.00 and £4,189.00 per month) from 12% to 10% from the 6th January 2024. Now following, the 2024 Spring Budget, the rate will fall again from 10% to 8% from the 6th April 2024.
Furthermore, with effect from the 6th April 2024:-
- Class 4 NIC’s paid by the self-employed were due to fall from 9% to 8% following the changes made under the National Insurance Contributions (Reduction in Rates) Act 2023, which implemented the changes announced in the 2023 Autumn Statement. However, following the 2024 Spring Budget, the rate will now fall from 9% to 6% instead
- The self-employed will no longer pay Class 2 NIC’s
