Chancellor Jeremy Hunt today confirmed a cut in National Insurance for millions of workers in today's Autumn Statement.

Mr Hunt was under pressure from his backbench MPs to include tax cuts in today's major economic announcement, and he did just that with news of the National Insurance cut.

He announced that National Insurance, paid by employees, will be cut by two percentage points, from 12% to 10%. The Chancellor said this cut will be introduced from January 6 and will help 27 million workers.

Mr Hunt said: “It means someone on the average salary of £35,000 will save over £450. For the average nurse, it is a saving of over £520 and for the typical police officer it is a saving of over £630 every single year.”

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The Chancellor also announced changes designed to help self-employed workers, hailing them as the people who “kept our country running during the pandemic”.

Mr Hunt said: “Class 2 national insurance is a flat rate compulsory charge, currently £3.45 a week, paid by self-employed people earning more than £12,570 which gives state pension entitlement.

“Today, after careful consideration and in recognition of the contribution made by self-employed people to our country, I can announce we are abolishing class 2 national insurance altogether, saving the average self-employed person £192 a year.

“Access to entitlements and credits will be maintained in full and those who choose to pay voluntarily will still be able to do so.”

Mr Hunt also turned to class 4 national insurance paid at 9% on all earnings between £12,570 and £50,270.

The Chancellor said: “I have decided to cut that tax by one percentage point to 8% from April. Taken together with the abolition of the compulsory class 2 charge, these reforms will save around two million self-employed people an average of £350 a year from April.”

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