View more on these topics

National insurance

For tax year 2002/2003 the rate of employer&#39s Class 1 National Insurance contributions reduces from 11.9% to 11.8%. The employee&#39s rate will be 10%.

The threshold above which employers and employees pay contributions is at £89 per week and the threshold above which the self-employed pay Class 4 contributions is £4,615.

Details of National Insurance contributions for tax year 2002/2003 are given in the Appendix to this report.

The expected rises in National Insurance have been deferred until the 2003/04 tax year. At that time the Chancellor has proposed that

  • The employees primary Class 1 rate of National Insurance rate will increase by 1% to 11% on earnings between the primary threshold and upper earnings limits.
  • Employees will, in addition, pay 1% Primary Class 1 National Insurance on all earnings above the upper earnings limit.
  • Employers Secondary Class 1 contributions rate on earnings above the secondary threshold will increase by 1% to 12.8%.
  • The self employed Class 4 rate on profits between the lower and upper profits limit will increase by 1% to 8%.
  • The self employed will, in addition, pay Class 4 contributions at a rate of 1% on all profits over the upper profits limit.


NAG anonymity fears in talks with Misys

Negotiations between mega-network Misys and members of the Network Action Group have stalled over fears by members of the pressure group about breaking their anonymity.Misys wants to know who it is dealing with in the negotiations but NAG members are concerned that losing their anonymity would lead to disciplinary action and possible expulsion from Misys.NAG […]

Eagle Star revamps drawdown plan

Eagle Star Life has revamped its flexible drawdown plan by increasing the fund range and adding more commission options.This hybrid Sipp provides access to 36 Eagle Star Life funds and 12 external funds from managers including Fidelity, Gartmore and Henderson. The previous version of the Sipp allowed investment in up to six funds at one […]

Tiner sees future for &#39new WP&#39 but wants to see management improve

Strong investment performance in the with-profits industry has camouflaged poor management by product providers in recent years and this issue must be addressed, says FSA managing director John Tiner.Speaking at City law firm Norton Rose sponsored conference The Changing Face of Life Assurance in London last week, Tiner challenged the industry to address the great […]

R&SA slices 20% from term rates

Royal & Sun Alliance UK Life is cutting level term insurance rates by up to 20 per cent.The new rates apply to family, business and keyperson cover under its Lifewise plan. It hopes the rate cuts will consolidate its top-five position in the market and particularly benefit those with highnet-worth sums assured.A male non-smoker aged […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm