TaxPayers' Alliance: Abolishing National Insurance

Welcoming reports that the Chancellor is considering merging National Insurance and Income Tax, as suggested by the TaxPayers' Alliance in 2012, Jonathan Isaby, Chief Executive of the TaxPayers' Alliance, said:

“National Insurance is archaic, confusing and opaque, and the difference between it and income tax has become academic. Merging the two would make taxes far more transparent and people will be able to see exactly what they hand over to the taxman when they receive their pay packet. This long overdue move would be a bold first step towards delivering a system that taxpayers can trust once again.

“The Government's first priority must be to deliver the conditions for economic growth, and radical reform of the tax system to make it simpler and fairer is absolutely vital in the pursuit of that goal. The sooner this change is enacted the better, giving taxpayers the honest system they deserve."

The TaxPayers' Alliance (TPA) has long campaigned for the abolition of National Insurance.

In 2012, the TPA convened the 2020 Tax Commission with the Institute of Directors, and called for a simpler and fairer tax system. The TPA's Research Director Rory Meakin fleshed those proposals out in a paper later that year, entitled "How to abolish National Insurance."

The TPA has also produced a campaign video, entitled "What are you really paying?", which calls for more honesty in the tax system.

- Ends -

For more information, please contact:

Andy Silvester

Campaign Manager, The TaxPayers' Alliance

E: andy.silvester@taxpayersalliance.com

T: 07891 059567

Notes to Editors:

1. Founded in 2004 by Matthew Elliott and now with 80,000 supporters, the TaxPayers' Alliance (TPA) fights to reform taxes, cut spending and protect taxpayers. Find out more about the TaxPayers' Alliance at www.taxpayersalliance.com