Spring statement: How does Rishi Sunak's national insurance change affect you?

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Spring statement: How does Rishi Sunak's national insurance change affect you?
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Chancellor Rishi Sunak has increased the amount you can earn before you start paying national insurance, from £9,880 to £12,570, when the new rate takes effect in July.The change means anyone earning less than £41,389 will pay less in national insurance than they currently do. This is about 70% of workers.

Those on minimum wage will see their salary go up - as the hourly rate is set to rise to £9.50 from £8.91 - but their NI contributions will come down.For example, those with an annual salary over £50,000 will pay £108 more, a 2% rise, when you balance out the higher rate and threshold. But it's worth noting that those people also pay less in national insurance, as a proportion of their income, than anyone earning more than £25,000.Could Mr Sunak have spent the money better to help those on the lowest incomes?

The total cost to the Treasury is about £6.25bn, according to the government's policy costing document published alongside the spring statement.

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