National Insurance Contributions Act 2011 Explanatory Notes

National Insurance Contributions Act 2011

2011 CHAPTER 3

Commentary on Sections

Part 1: Increases in rates

Section 2: Class 4 contributions

23. Section 2 specifies the changes to be made to section 15(3ZA) of SSCBA 1992 and SSCB(NI)A 1992 (Class 4 percentages).

24. Subsection (1)(a) provides that the main rate of Class 4 contributions is increased from 8% to 9%.

25. Subsection (1)(b) provides that the additional rate of Class 4 contributions is increased from 1% to 2%.

26. Subsection (2) amends section 143(4)(b) of the Social Security Administration Act 1992 (SSAA 1992) (power to alter contributions with a view to adjusting level of National Insurance Fund). It increases from 8.25% to 9.25% the limit for any increase in the rate of Class 4 contributions that may be made by Treasury order.