National Insurance Contributions Bill second reading, now have your say
24 November 2010 (updated on 24 November 2010)
Exchequer Secretary to the Treasury, David Gauke, introduced the second reading of the National Insurance Contributions Bill in the House of Commons on Tuesday 23 November. The Bill passed without a vote and will now be considered by a Public Bill Committee. Have your say on the Bill by submitting your views in writing to the National Insurance Contributions Public Bill Committee which is going to consider this Bill.
- Video and Audio: National Insurance Contributions Bill, second reading
- Commons Hansard: National Insurance Contributions Bill, second reading
- Bills before Parliament: National Insurance Contributions Bill
- About Parliament: Passage of a Bill
Have your say
Do you have relevant expertise and experience or a special interest in the Government’s National Insurance Contributions Bill?
If so, you can submit your views in writing to the House of Commons Public Bill Committee which is going to consider this Bill.
Summary of the Bill
The Bill increases the rates of National Insurance contributions paid by employees, employers and the self-employed. It also creates a regional employer National Insurance contributions holiday for new businesses. (The scheme started in September 2010.)
Key areas of the Bill
- Part 1 of the Bill increases the rate of Class 1 National Insurance Contributions (NICs), paid by employees and employers on employee earnings, and Class 4 NICs, paid by the self-employed on their profits, by 1 percentage point from 6 April 2011.
- Part 2 of the Bill provides for new businesses to get a substantial reduction in their employer NICs. These employers will not have to pay the first £5,000 of Class 1 employer NICs due in the first twelve months of employment. This will apply for each of the first 10 employees hired in the first year of business. The measure will not apply in Greater London, the South East Region and the Eastern Region.
Deadline for submissions
The sooner you send in your submission, the more time the Committee will have to take it into consideration. The Public Bill Committee is expected to meet for the first time on Thursday 2 December and complete its consideration of the Bill by Thursday 9 December.