Reeves urged to take 2p off employee NI and add it to income tax in budget

The GuardianMonday, September 22, 2025 at 11:01:31 PM
Reeves urged to take 2p off employee NI and add it to income tax in budget
Rachel Reeves is being encouraged to adjust the national insurance rate by reducing it by 2p and reallocating that to income tax in her upcoming autumn budget. This proposal from the Resolution Foundation could potentially raise an additional £6 billion annually, which is significant for the economy. The move aims to create a fairer tax system and protect workers' earnings, making it a crucial discussion point for the government as it seeks to balance fiscal responsibility with the needs of the workforce.
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