In our last blog on this matter, we discussed the announcement of the changes in NIC Rates for employers coming into place on the 5^th of April 2025. Here we are breaking down all the potential effects the changes made by the Chancellor of the Exchequer and the Labour Party might have on your business in the long term.

The state pension age in the UK is the earliest age you can start claiming your state pension. This age depends on when you were born. The state pension age is currently 66 for both men and women but will increase again from 6 May 2026 to 67 for those born on or after April 1960.

Our last National insurance blog listed the expected national insurance contribution rates for 2024; however, from what has recently been changed in the Chancellor’s Spring Budget for 2024 As had been widely expected, the Chancellor announced further changes to National Insurance contributions (NIC) rates for employees and the self-employed.
 

In the  recent Autumn Statement, the Chancellor announced a significant change to National Insurance contributions for both employees and self-employed people.
 

In the  recent Autumn Statement, the Chancellor announced a significant change to National Insurance contributions for both employees and self-employed people.
 

There are two types of National Insurance contributions (NICs) payable by most self-employed people. These are known as Class 2 NICs and Class 4 NICs.

If you are retiring abroad, you are still entitled to claim your UK State Pension as long as you have built up a suitable amount of qualifying years of NIC contributions. However, your entitlement to yearly increases in the State Pension only applies in certain countries.
 

If you decide to become self employed, it is vital that you register with HMRC by 5th October following the end of the tax year in which you became self employed.  If you do not follow this process, you may be liable to a penalty based on the tax that is due to HMRC.