Millions of workers in the UK will begin to pay higher contributions to National Insurance (NI) from today.
In what is said to be part of a plan to raise billions of pounds for the NHS and social care, the government announced the 1.25 percentage point increase in National Insurance as part of its 2021 Autumn Budget last year, and insists it is “necessary, fair and responsible” that the rise still be introduced, despite growing pressure for it to be put off in the wake of the wider cost of living crisis.
From today, annual earnings above £9,880 will be liable for 13.25% NI contributions, and for those above a higher threshold of £50,270, the rate will be 3.25%.
Employers’ National Insurance contributions will also go up by 1.25 percentage points.
The government predicts that the tax rise will raise £39 billion over the next three years to help reduce the COVID-induced backlog within the NHS, and then later reform adult social care for the long-term.
ADVERTISEMENT
From Wednesday 6 April, the Health and Social Care Levy will begin to raise funds to help tackle Covid backlogs and reform services.
Over the next three years £36 billion will be invested in the health & social care system to ensure it has the long-term resource it needs.
— Department of Health and Social Care (@DHSCgovuk) April 3, 2022
It has been confirmed that lifetime care costs will be capped at £86,000 from October next year, and there will also be a change in the assessment of individual assets that people have to be eligible for help with care costs, as currently, only those with assets of less than £23,250 receive help, but this will go up to £100,000
Prime Minister Boris Johnson said the levy was the “necessary, fair and responsible next step, providing our health and care system with the long term funding it needs as we recover from the pandemic”.
Chancellor Rishi Sunak added: “This government will not shy away from the difficult decisions we need to take to fix our social care system and slash NHS waiting times.”
Health Secretary @sajid tells @KayBurley the National Insurance rise can only come from two sources, 'directly from people today' or borrowing it from 'the next generation'.
Health Secretary Sajid Javid also defended the move to increase NI contributions in an interview live on Sky News this morning, explaining: “All of the funding raised from it is going to go towards the extra £39 billion we are going to put in over the next three years to health and social care.
ADVERTISEMENT
“It’s going to pay in the NHS for activity levels that are some 130% of pre-pandemic, it’s going to be nine million more scans, tests and procedures, meaning people will get seen a lot earlier [but] why is any of this necessary, whether it is for health or social care?
“It’s because of the impact of the pandemic. We know it is unprecedented. It has been the biggest challenge in our lifetime.
“The impact of that is going to continue for many years.”
Leader of the Labour Party, Sir Keir Starmer, has called the NI price hikes “the wrong tax at the wrong time” in an interview on Good Morning Britain this morning, adding that: “The sad reality is a lot of the money gathered through this tax increase, in the end, is going to be filling a blackhole.”
Featured Image – National Insurance (gov.uk)
News
Andy Burnham explains why Number 10 North is so important as it officially ‘opens for business’
Emily Sergeant
Andy Burnham has explained his key reasons for launching Number 10 North as it officially ‘opens for business’ this week.
You may remember that earlier last month, Andy Burnham revealed he had intentions to create a Number 10 North if he was to become Prime Minister, with the new base expected to be a ‘dominant driver of the UK’s economy’ once it was officially up and running… and now, fast forward to today, Number 10 North is officially ‘open for business’.
Operating from Heron House in Manchester city centre, as previously reported on, Number 10 North will be the Government’s new ‘situation room for growth’.
It also brings the ‘levers’ of local economic growth and devolution together under one roof for the first time ever.
Number 10 North has officially ‘opened for business’ / Credit: gov.uk (via Wikimedia Commons)
With the Prime Minister expected to work from Number 10 North each week, so that decisions about the country’s economic future will no longer exclusively be made in Westminster, and with other ministers also working from there on a regular basis, the Government says the move underlines its determination to ‘do things differently’.
Now that Number 10 North has officially opened, Andy Burnham and his fellow ministers have explained why this move is so important for not just Manchester, but the north as a whole.
“For 40 years, power and resources have been sucked into the centre, and too many communities have felt forgotten, without the attention and investment they deserve,” explained Andy Burnham.
“Number 10 North will change that by putting more power into every postcode across the entire country. It will be the situation room for making Britain better, the place we use to get power out of Westminster, into the hands of people at a local level, so that they can turn things around.
“The days of Whitehall resisting devolution are over, for good.”
First Secretary Louise Haigh added: “Today marks a fundamental re-balancing of where power sits in our country. Number 10 North has been set up to drive economic growth in every postcode and put power in the hands of every community.
“Through this department, this Government will ensure that the places overlooked by Westminster for decades are given a real voice.
“Number 10 North is open for business.”
Featured Image – The Manc Group
News
Scissors, toy guns, and baseball bat among 100+ items confiscated by security at Manchester Airport
Emily Sergeant
Manchester Airport has revealed a shocking list over 100 items confiscated by security staff in just one morning.
And honestly, you won’t believe some of the things people have tried to take on a plane.
With schools across Greater Manchester having now broken up for the summer holidays, and families getting ready to jet off on their holidays, Manchester Airport is urging all passengers travelling over the next six weeks to make sure they know the hand luggage rules before boarding the plane, after more than 100 items recently had to be confiscated by security in one morning alone.
12 pairs of scissors, 10 toy guns, seven corkscrews, four knives, two loose chisels, a pair of pliers, and even a baseball bat were among the items forming part of the shocking confiscation haul.
On top of this, security also confiscated dozens of cosmetic products, drinks bottles, and food items like multipacks of yoghurts.
Scissors, toy guns, and a baseball bat are among 100+ items confiscated by security at Manchester Airport / Credit: Manchester Airport
Although new 3D scanning technology has been installed at both of Manchester Airport’s terminals now, making the process smoother overall, those travelling during the busy summer period are reminded that attempting to bring non-compliant items through airport security causes delays for themselves and for others.
Airport security bosses are encouraging people to reacquaint themselves with the rules for hand luggage before packing for their journey.
“We’re proud of the role we play in getting people’s journeys off to the right start, and more than 97% of our passengers are getting through security checks in under 15 minutes,” commented Sakib Mahmood, who is the Security Duty Manager for T2 at Manchester Airport
All if these items were confiscated in just one morning / Credit: Manchester Airport
“But each time we have to pull a bag aside for a manual search it can take several minutes, and that can quickly start to add up and create delays.
“The range of items confiscated here in just a few hours shows what our security officers are up against every day, but when it comes to working out what is restricted and what is not, we know some items are more obvious than others.
“If you take a moment to reacquaint yourself with the rules before packing your hand luggage, it can save you lots of time when you get to Security, and avoids you losing items like water guns or bottles of suncream that you want to take on your holiday with you.
“In many cases, items like these which may fall foul of hand luggage restrictions can be taken in your hold luggage, so if in any doubt, pack the item in your suitcase rather than your carry-on bag.”
Emily Sergeant -
6th April 2022 
