The rate of employer's National Insurance contributions reduces from 11.9% to 11.8%. The rate for employees is unchanged.
Levels of National Insurance contributions for tax year 2002/2003 were set as follows:-
The Primary Threshold (ie. the threshold above which employee's NI contributions are payable) is increased to £89 per week. The upper limit is increased to £585 per week
The Secondary Threshold (ie. the level of an employee's earnings at which the employer begins to pay NI contributions) is set at £89 per week.
The Class 4 rate is 7% of earnings between £4,615 pa and £30,420 pa, and the Class 2 flat-rate contribution remains at £2 per week and becomes due when profits reach £4,025 pa.
(d) Voluntary contributions
The flat-rate of Class 3 voluntary contributions is raised to £6.85 per week.