A RISE in National Insurance will be reversed in November, the Chancellor has confirmed.

The 1.25% NI rise was introduced in April under former chancellor Rishi Sunak, but new Prime Minister Liz Truss pledged to reverse the move during the summer’s Tory leadership race.

New Chancellor Kwasi Kwarteng called the plan to reverse the rise a “tax cut for workers”.

In a tweet that appears to pre-empt Friday’s mini-budget, he said: “I can confirm that this year’s 1.25% point rise in National Insurance will be reversed on 6th November.

 

“Its replacement – the Health and Social Care Levy planned for April 23 – will be cancelled.

“A tax cut for workers. More cash for businesses to invest, employ and grow,” he said.

Chancellor Kwasi Kwarteng confirmed the national insurance increase which came into effect in April will be reversed from November 6.

Ahead of his mini-budget on Friday, he said: “Taxing our way to prosperity has never worked. To raise living standards for all, we need to be unapologetic about growing our economy.

“Cutting tax is crucial to this – and whether businesses reinvest freed-up cash into new machinery, lower prices on shop floors or increased staff wages, the reversal of the levy will help them grow, whilst also allowing the British public to keep more of what they earn.”