Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if he will make an estimate of an employee earning £25,000, how much (a) Income Tax and (b) National Insurance Contributions, they would be paying in each of 2021-22 and 2022-23, in both (i) nominal and (ii) 2021-22 prices; and if he will place a copy of the results of that calculation in the Library.

The Government does not routinely publish estimates of tax liability by income level, as it is dependent on an individual’s circumstances and can vary between people with the same annual incomes.

As announced at Spring Statement 2022, the increase in the starting thresholds of National Insurance contributions (NICs) will benefit almost 30 million working people. This is a tax cut worth over £330 a year, for a typical employee, from July 2022.

From July 2022, around 70 per cent of workers who pay NICs will pay less NICs than they otherwise would have, even after accounting for the introduction of the Health and Social Care Levy.