Jeremy Hunt cuts NI tax rate to 10% from January
The Chancellor has announced he has cut the main rate of national insurance by 2 percentage points to 10%. Jeremy Hunt says he will introduce "urgent legislation" to bring in the change from January 2024, helping 27 million people. Report by Brooksl. Like us on Facebook at http://www.facebook.com/itn and follow us on Twitter at http://twitter.com/itn
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00:00 If we want people to get up early in the morning, if we want them to work nights, if we want
00:05 an economy where people go the extra mile and work hard, then we need to recognise that
00:10 their hard work benefits us all. So today, Mr Speaker, I'm going to cut the main 12%
00:16 rate of employee national insurance. If I cut it by one percentage point to 11%, that
00:25 will be an extra £225 in the pockets of the average worker every year. But instead, I'm
00:32 going to go further and cut the main rate of employee national insurance by two percentage
00:37 points from 12% to 10%. That change will help 27 million people. It means someone on the
00:47 average salary of £35,000 will save over £450. For the average nurse, it's a saving
00:55 of £520. For the typical police officer, a saving of £630 every single year. Mr Speaker,
01:04 I would normally bring in a measure like this from the start of the new tax year in April,
01:09 but instead tomorrow I'm introducing urgent legislation to bring it in from January 6th
01:14 so people can see the benefit in their payslips at the start of the new year.