Increases in contributions

Primary Class 1 contributions
1
1
For section 8 of the Social Security Contributions and Benefits Act 1992 (c. 4) substitute—

Calculation of primary Class 1 contributions
8
1
Where a primary Class 1 contribution is payable as mentioned in section 6(1)(a) above, the amount of that contribution is the aggregate of—
a
the main primary percentage of so much of the earner’s earnings paid in the tax week, in respect of the employment in question, as—
i
exceeds the current primary threshold (or the prescribed equivalent); but
ii
does not exceed the current upper earnings limit (or the prescribed equivalent); and
b
the additional primary percentage of so much of those earnings as exceeds the current upper earnings limit (or the prescribed equivalent).
2
For the purposes of this Act—
a
the main primary percentage is 11 per cent; and
b
the additional primary percentage is 1 per cent;
but the main primary percentage is subject to alteration under sections 143 and 145 of the Administration Act.
3
Subsection (1) above is subject to—
a
regulations under section 6(6) above;
b
regulations under sections 116 to 120 below; and
c
sections 41 and 42A of the Pensions Act (reduced rates of Class 1 contributions for earners in contracted-out employment).
2
For section 8 of the Social Security Contributions and Benefits (Northern Ireland) Act 1992 (c. 7) substitute—

Calculation of primary Class 1 contributions
8
1
Where a primary Class 1 contribution is payable as mentioned in section 6(1)(a) above, the amount of that contribution is the aggregate of—
a
the main primary percentage of so much of the earner’s earnings paid in the tax week, in respect of the employment in question, as—
i
exceeds the current primary threshold (or the prescribed equivalent); but
ii
does not exceed the current upper earnings limit (or the prescribed equivalent); and
b
the additional primary percentage of so much of those earnings as exceeds the current upper earnings limit (or the prescribed equivalent).
2
For the purposes of this Act—
a
the main primary percentage is 11 per cent; and
b
the additional primary percentage is 1 per cent;
but the main primary percentage is subject to alteration under section 129 of the Administration Act.
3
Subsection (1) above is subject to—
a
regulations under section 6(6) above;
b
regulations under sections 116 to 119 below; and
c
sections 37 and 38A of the Pensions Act (reduced rates of Class 1 contributions for earners in contracted-out employment).