National Insurance Increase Reversed

Chancellor Kwasi Kwarteng announced on 22nd September that the 1.25 percentage point rise in National Insurance will be reversed from 6th November.

National Insurance contribution (NIC) rates will be cut by 1.25 percentage points for employees, employers and the self-employed, effectively reversing the uplift introduced in April 2022 for the rest of the tax year. This cut will take effect from 6th November 2022 and it will cover Class 1 (both employee and employer), Class 1A , Class 1B and Class 4 (self-employed) NICs.

HMRC have previously asked employers to include a temporary generic message on payslips for the 2022/2023 tax year to explain the reason for the NICs uplift. This message will not be applicable from 6th November 2022.

We have started working on the appropriate changes to the software. A notification will be sent via email as soon as the software update is available ready for November 2022.

You can find full details on all these changes published by HMRC on GOV.UK.

If you have any questions, please contact our support team on 0117 9353500 (Option 1) or via email at support@qtac.co.uk.