Mar 9, 2017

Institute for Fiscal Studies backs National Insurance increase

The Institute for Fiscal Studies says the government was right to raise National Insurance contributions for the self employed in the Budget. National Insurance rise due to 'new challenges'. David Cameron said there would be "No change" to National Insurance contributions. The IFS said the old system of National Insurance distorted the labour market, created complexity and was unfair. The IFS, which traditionally gives its assessment of the government's tax and spending plans the day after the Budget, said the 2% increase in NICs for the self employed closed a small fraction of the gap between employees and the self employed.

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