Millions get national insurance cut from today – here’s how much you’ll save
Millions of hard-pressed Britons are receiving a national insurance cut from today the new tax year gets underway, helping to ease the burden of the cost of living crisis.
The main rate of employee national insurance was cut from 10 per cent to 8 per cent from April 6 - the first day of the 2024-25 tax year.
This two per cent decrease was the centrepiece of chancellor Jeremy Hunt’s spring budget - a cut he said will benefit 27 million workers.
When combined with a cut previously announced in the autumn statement, this will save the average worker on £35,400 more than £900 a year, the government said.
The move from Mr Hunt is intended to try and make a dent in Labour’s commanding poll lead, with a general election looming.
Mr Hunt said the cuts show “we stand behind those who work hard and fires the starting gun on our long-term ambition to end the unfair double tax on work”.
How much are you saving with a 2p national insurance cut, based on an annual income
£15,000 - Take-home pay of £14,320 in 2024/25, compared to £14,235 in 23/24 - Increase of £85
£20,000 - Take-home pay of £17,920 in 2024/25, compared to £17,660 in 23/24 - Increase of £260
£25,000 - Take-home pay of £21,520 in 2024/25, compared to £21,085 in 23/24 - Increase of £435
£30,000 - Take-home pay of £25,120 in 2024/25, compared to £24,510 in 23/24 - Increase of £610
£35,000 - Take-home pay of £28,720 in 2024/25, compared to £27,935 in 23/24 - Increase of £785
£40,000 - Take-home pay of £32,320 in 2024/25, compared to £31,360 in 23/24 - Increase of £960
£45,000 - Take-home pay of £35,920 in 2024/25, compared to £34,786 in 23/24 - Increase of £1,135
£50,000 - Take-home pay of £39,520 in 2024/25, compared to £38,210 in 23/24 - Increase of £1,310
£55,000 - Take-home pay of £42,457 in 2024/25, compared to £41,138 in 23/24 - Increase of £1,320
£60,000 - Take-home pay of £45,357 in 2024/25, compared to £44,038 in 23/24 - Increase of £1,320
£65,000 - Take-home pay of £48,257 in 2024/25, compared to £46,938 in 23/24 - Increase of £1,320
£70,000 - Take-home pay of £51,157 in 2024/25, compared to £49,838 in 23/24 - Increase of £1,320
You can use our tax calculator below to determine if all the changes announced in the spring Budget will leave you better or worse off in the new tax year: