As previously announced, and legislated for in February 2021, the government has confirmed that in the 2021/22 tax year NICs thresholds will rise with consumer prices inflation (CPI). This will bring the NICs Primary Threshold/Lower Profits Limit to £9,568 and the Upper Earnings Limit (UEL)/Upper Profits Limit (UPL) to £50,270, in line with the income tax higher rate threshold (HRT). The UEL/UPL will then remain aligned with the HRT at £50,270 until April 2026.
All other NICs thresholds will be considered and set at future fiscal events. NICs thresholds apply across the UK.
All businesses, employers, employees and self-employed individuals.
This measure will be implemented from 6 April 2021.
This measure remains as previously announced and legislated for in February 2021.