National Insurance Contributions (Secondary Class 1 Contributions) Bill

Debate between Lord Macpherson of Earl's Court and Baroness Noakes

Report stage
Tuesday 25th February 2025 Lords Chamber

[Baroness Noakes (Con)]

My Lords, I rise briefly to challenge the analysis of the noble Viscount, Lord Chandos. He claimed that if we took the health and social care levy employer element and what was proposed here, it would sort of level itself out. It would not. The employer element of the health and social care levy is roughly one third of the amount that is expected to be raised by this Bill. The two cannot be compared.

[Lord Macpherson of Earl’s Court (CB)]

I support the comments from my noble friend Lord Hogan-Howe: I think that it is an important principle that Budgets should be determined by the House of Commons. Those who argue for exemptions should be obliged to explain how they will pay for the tax cuts in those exemptions. If you cut taxes in one area, they will need to be raised somewhere else. That will result in higher marginal rates for everybody else, which do far more damage than low ones.