Millions of workers across Scotland and the rest of the UK will see National Insurance Contributions (NICs) go up by 1.25 percentage points from today as households continue to face mounting cost-of-living pressures.
The tax rise comes on top of soaring energy bills and sky-high inflation, which is currently at 6.2% but expected to rise even higher this month. However, despite the National Insurance increase continuing to cause political unrest between parties in Westminster, the change is now in effect and will impact take-home pays from this month.
From April 6, employer and employee National Insurance Contributions will be put up, with the rate going back to its 2021/22 level for the 2023/24 financial year, and the income stream replaced by a new health and social care levy of 1.25% - the proposal is predicted to raise £12 billion annually.
