Millions of people are set to see an additional £330 in their bank accounts after the planned reverse of national insurance increase was confirmed this week. It had been confirmed by former chancellor, Kwasi Kwarteng, that a planned national insurance increase will be reversed in the mini-budget earlier this month, and new chancellor Jeremy Hunt has confirmed that this reverse will still go ahead.
This means 28 million people across the UK will keep an extra £330 a year, on average, in 2023/24, according to the Government
It comes after a number of measures that had been put forward by his predecessor were turned on during an emergency statement on Monday, October 17. This means millions of people will see the additional sum in their bank accounts from November 6 reports The Liverpool Echo.
The 1.25% increase in national insurance was announced by former chancellor Rishi Sunak to help fund health and social care. The Treasury said that almost 28 million people will keep an extra £330 of their money on average next year as a result of ditching the hike.
However, Alice Haine, personal finance analyst at investment platform Bestinvest, said a £330 saving "won't stretch far when you realise that only equates to £27.50 a month." She continued: "Yes, every penny counts in this cost-of-living crisis and for some, that £27.50 could be the difference between having dinner every night and sometimes going without.
"For others, however, that amount will barely make a dent in their budgets as they struggle to pay the household bills amid rampant inflation as soaring food, fuel and energy prices become the norm."
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