Sector leaders have criticised the Chancellor of the Exchequer’s decision to reduce National Insurance payments and increase the National Living Wage over measures to support families “at the sharp end of the cost-of-living crisis”.
Laying out his latest budget in the House of Commons, Jeremy Hunt announced a reduction of Employee National Insurance contributions by two percentage points from 12 per cent to 10 per cent for 27 million workers who meet the contribution threshold.
Hunt also revealed a National Living Wage increase for 18- to 25-year-olds – including an expansion of the highest rates to those aged 21.
The National Living Wage will increase from £10.42 to £11.44 in April next year with the age threshold being reduced to 21 for the first time.
