The government has announced NIC contribution rates and thresholds for 2023-24. The following is an extract from the HM Treasury document CP751, entitled Autumn Statement 2022 (para. 5.18), with paragraph spacing added for greater clarity:
“The government will fix the Lower Earnings Limit (LEL) and the Small Profits Threshold (SPT) at 2022- 23 levels in 2023-24.
The LEL will remain at £6,396 per annum (£123 per week) and the SPT will remain at £6,725 per annum.
The Upper Secondary Threshold, Apprentices Upper Secondary Threshold, and Veteran Upper Secondary Threshold, will stay fixed at £50,270 per annum until April 2028, to remain aligned with the UEL and UPL.
The Freeport Upper Secondary Threshold will also be fixed at £25,000 per annum.
The government will use the September CPI figure of 10.1% to uprate the Class 2 and Class 3 NICs rates for 2023-24. The Class 2 rate will be £3.45 per week, and the Class 3 rate will be £17.45 per week.
The government will legislate for these measures in affirmative secondary legislation in early 2023.”
Related content from Claritax Books
The complex rules for National Insurance contributions are covered in depth in National Insurance Contributions, by Karen Speight.
