How much more will I pay when national insurance goes up?

Those earning high salaries will pay proportionally less national insurance than those on middle incomes when the rate rises in April.

Research by Income Tax Calculator UK shows that people earning £100,000 will pay seven per cent of their overall salary to NI – the same as those on £20,000.

It says £30,000 and £50,000 earners will be hardest hit by the 1.25 per cent NI hike, with the increase meaning that they will pay nine percent and ten percent of their salary towards NI respectively

Those earning £100,000 a year in the UK will be least affected by the 1.25 percent increase in National Insurance from April 2022, it says

The research, by Income Tax Calculator UK, analysed how much National Insurance (taking into account the 1.25 percent increase in April) people earning between £20,000 to £100,000 a year would pay in in 2022, to discover what percentage of each worker’s salary would go to NI.

While the National Insurance spike will see people earning £30,000 (the average wage in the UK) devote nine percent of their yearly salary to National Insurance, and those on £50,000 give away ten percent of their earnings, people on an affluent salary of £100,000 will see just seven percent of their wages go on National Insurance.

How much you’ll pay in NI from April

£20,000 an increase of £130 to overall NI contribution of £1,381 which is 7 per cent of income on NI

£30,000 an increase of £225 to overall contribution of £2,706 with 9 per cent of income on NI

£50,000 an increase of £505 to overall contribution of £5,086 with 10 per cent of income on NI

£80,000 is an increase of £880 to £6,369 overall with eight per cent of income on NI

£1000,000 is an increase of £1,130 to overall contribution of £7,008 which is 7 per cent of income on NI

A spokesperson for Income Tax Calculator UK said: “The increase in National Insurance will have a huge effect on workers’ earnings in 2022, especially given soaring energy bills and the fact that inflation is at its highest point in 30 years.

“This data gives us a compelling insight into the fact that lower and average earners will be significantly more squeezed by the National Insurance hike than those at the very top.

“People earning some of the highest salaries in the country, for example, workers on £100,000 a year are set to pay the same percentage of their salary to NI as a person on £20,000 in 2022, despite earning five times as much, while those earning the average wage of £30,000 will see as much as 9 percent of their salary swallowed by NI.”

There had been pressure on Prime Minister Boris Johnson over the 1.25 percentage point rise, designed to tackle the Covid-induced NHS backlog and reform social care.

But at the weekend, Mr Johnson and his Chancellor Rishi Sunak said the rise would go ahead.