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Minister pours cold water on NI hike to fund social care reform

Plans by the government to raise national insurance to pay for long-term social care reform have been thrown into further doubt after a senior minister appeared to rule it out.

Business Secretary Kwasi Kwarteng told Sky News that a reported hike in national insurance would be off the cards when the government brings forward proposals later this year.

“That’s what it says in the manifesto, I don’t see how we could increase national insurance,” he said.

Kwarteng said he believes a social care plan will come “by the autumn”, adding “I don’t think we’ll put up national insurance in that specific [announcement].”

According to the Times, Prime Minister Boris Johnson had been due to announce plans to increase payments by one per cent – for both employers and employees – to raise around £10 billion a year.

Johnson is said to have agreed the approach in principle with Health Secretary Sajid Javid and Chancellor Rishi Sunak.

An announcement – originally expected this week - is now expected in the autumn due to Johnson and Sunak self-isolating following close contact with Javid, who tested positive for Covid.

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The Care Show 2021

Birmingham, NEC
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London, Epsom Downs Racecourse
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Care Roadshow - Cardiff

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Future of Care North

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