Key facts
- Employee Class 1 NI has fallen from 12% to 8% between 2015/16 and 2025/26.
- Employer NI has risen from 13.8% to 15% in April 2025.
- The Secondary Threshold dropped sharply from £9,100 to £5,000 in April 2025.
- Class 4 NI for the self-employed has fallen from 9% to 6% over the same period.
- Class 2 NI became voluntary from April 2024 — no longer compulsory for the self-employed.
NI Rates Over Time
National Insurance rates and thresholds change regularly, often as part of the annual Budget or fiscal event. This page provides a complete historical record from the 2015/16 tax year through to the current 2025/26 tax year.[1]
Understanding how rates have changed is useful for tax planning, comparing historical payroll costs, and verifying past NI calculations.
Employee Class 1 NI Rates
| Tax Year | Main Rate (PT–UEL) | Additional Rate (above UEL) | Primary Threshold (weekly) | UEL (weekly) |
|---|---|---|---|---|
| 2015/16 | 12% | 2% | £155 | £815 |
| 2016/17 | 12% | 2% | £155 | £827 |
| 2017/18 | 12% | 2% | £157 | £866 |
| 2018/19 | 12% | 2% | £162 | £892 |
| 2019/20 | 12% | 2% | £166 | £962 |
| 2020/21 | 12% | 2% | £183 | £962 |
| 2021/22 | 12% | 2% | £184 | £967 |
| 2022/23 | 12% † | 2% | £242 † | £967 |
| 2023/24 | 12% ‡ | 2% | £242 | £967 |
| 2024/25 | 8% | 2% | £242 | £967 |
| 2025/26 | 8% | 2% | £242 | £967 |
† 2022/23: PT was £190/week from April, then raised to £242/week from July 2022. A temporary 1.25% Health & Social Care Levy was added from April 2022 but reversed in November 2022.
‡ 2023/24: Rate was 12% from April 2023, then reduced to 10% from 6 January 2024.
Employer Class 1 NI Rates
| Tax Year | Employer Rate | Secondary Threshold (weekly) | Secondary Threshold (annual) |
|---|---|---|---|
| 2015/16 | 13.8% | £156 | £8,112 |
| 2016/17 | 13.8% | £156 | £8,112 |
| 2017/18 | 13.8% | £157 | £8,164 |
| 2018/19 | 13.8% | £162 | £8,424 |
| 2019/20 | 13.8% | £166 | £8,632 |
| 2020/21 | 13.8% | £169 | £8,788 |
| 2021/22 | 13.8% | £170 | £8,840 |
| 2022/23 | 13.8% † | £175 | £9,100 |
| 2023/24 | 13.8% | £175 | £9,100 |
| 2024/25 | 13.8% | £175 | £9,100 |
| 2025/26 | 15% | £96 | £5,000 |
† 2022/23: A temporary 1.25% Health & Social Care Levy surcharge was added from April 2022 (making the effective rate 15.05%), but was reversed in November 2022.
Key change: The April 2025 change represented the largest single-year increase in employer NI costs since the system was created. The rate rose by 1.2 percentage points while the threshold dropped by £4,100 per employee per year.[4]
Class 4 NI (Self-Employed) Rates
| Tax Year | Main Rate | Additional Rate | Lower Profits Limit (annual) | Upper Profits Limit (annual) |
|---|---|---|---|---|
| 2015/16 | 9% | 2% | £8,060 | £42,385 |
| 2016/17 | 9% | 2% | £8,060 | £43,000 |
| 2017/18 | 9% | 2% | £8,164 | £45,000 |
| 2018/19 | 9% | 2% | £8,424 | £46,350 |
| 2019/20 | 9% | 2% | £8,632 | £50,000 |
| 2020/21 | 9% | 2% | £9,500 | £50,000 |
| 2021/22 | 9% | 2% | £9,568 | £50,270 |
| 2022/23 | 9.73% † | 2% | £11,909 † | £50,270 |
| 2023/24 | 9% ‡ | 2% | £12,570 | £50,270 |
| 2024/25 | 6% | 2% | £12,570 | £50,270 |
| 2025/26 | 6% | 2% | £12,570 | £50,270 |
† 2022/23: Rate was 9% from April; with H&SC Levy surcharge the blended rate was 9.73%. LPL was £9,880 from April, raised to £12,570 from July 2022.
‡ 2023/24: Rate was 9% from April 2023, then cut to 8% from 6 January 2024.
Class 2 NI (Self-Employed) Rates
| Tax Year | Weekly Rate | Annual Cost | Small Profits Threshold | Notes |
|---|---|---|---|---|
| 2015/16 | £2.80 | £145.60 | £5,965 | Compulsory above SPT |
| 2016/17 | £2.80 | £145.60 | £5,965 | |
| 2017/18 | £2.85 | £148.20 | £6,025 | |
| 2018/19 | £2.95 | £153.40 | £6,205 | |
| 2019/20 | £3.00 | £156.00 | £6,365 | |
| 2020/21 | £3.05 | £158.60 | £6,475 | |
| 2021/22 | £3.05 | £158.60 | £6,515 | |
| 2022/23 | £3.15 | £163.80 | £6,725 | |
| 2023/24 | £3.45 | £179.40 | £6,725 | |
| 2024/25 | £3.45 | £179.40 | £6,725 | No longer compulsory |
| 2025/26 | £3.50 | £182.00 | £6,845 | Voluntary only |
Class 2 change in 2024: From April 2024, Class 2 NI is no longer compulsory for self-employed people with profits above the Small Profits Threshold. They are treated as having paid Class 2 for State Pension qualifying year purposes. Those below the threshold can still pay voluntarily at £3.50/week to protect their State Pension entitlement.[3]
Class 3 Voluntary NI Rates
| Tax Year | Weekly Rate | Annual Cost |
|---|---|---|
| 2015/16 | £14.10 | £733.20 |
| 2016/17 | £14.10 | £733.20 |
| 2017/18 | £14.25 | £741.00 |
| 2018/19 | £14.65 | £761.80 |
| 2019/20 | £15.00 | £780.00 |
| 2020/21 | £15.30 | £795.60 |
| 2021/22 | £15.40 | £800.80 |
| 2022/23 | £15.85 | £824.20 |
| 2023/24 | £17.45 | £907.40 |
| 2024/25 | £17.45 | £907.40 |
| 2025/26 | £17.75 | £923.00 |
Lower Earnings Limit (LEL) History
| Tax Year | LEL (weekly) | LEL (annual) |
|---|---|---|
| 2015/16 | £112 | £5,824 |
| 2016/17 | £112 | £5,824 |
| 2017/18 | £113 | £5,876 |
| 2018/19 | £116 | £6,032 |
| 2019/20 | £118 | £6,136 |
| 2020/21 | £120 | £6,240 |
| 2021/22 | £120 | £6,240 |
| 2022/23 | £123 | £6,396 |
| 2023/24 | £123 | £6,396 |
| 2024/25 | £123 | £6,396 |
| 2025/26 | £125 | £6,500 |
Employment Allowance History
| Tax Year | Amount | Eligibility Cap |
|---|---|---|
| 2014/15 (introduced) | £2,000 | No cap |
| 2015/16 | £2,000 | No cap |
| 2016/17 | £3,000 | No cap |
| 2017/18 – 2019/20 | £3,000 | NI bill under £100,000 |
| 2020/21 – 2021/22 | £4,000 | NI bill under £100,000 |
| 2022/23 – 2024/25 | £5,000 | NI bill under £100,000 |
| 2025/26 | £10,500 | NI bill under £100,000 |
Frequently Asked Questions
How much has employee NI changed over the past 10 years?
The main employee NI rate has dropped from 12% in 2015/16 to 8% in 2025/26. The most significant cuts were in January 2024 (12% to 10%) and April 2024 (10% to 8%). The additional rate above the UEL also fell from 2% to 2% (unchanged).
When did employer NI increase to 15%?
Employer NI increased from 13.8% to 15% on 6 April 2025. At the same time, the Secondary Threshold was reduced from £9,100 to £5,000. Both changes were announced in the Autumn Budget 2024.
What happened to Class 2 NI?
From April 2024, Class 2 NI is no longer compulsory for self-employed people with profits above the Small Profits Threshold. Self-employed people earning above the threshold are treated as if they have paid Class 2 for State Pension purposes. Those below the threshold can still pay voluntarily.
How has the Primary Threshold changed?
The Primary Threshold rose steadily from £155/week in 2015/16 to £242/week in 2022/23, where it has remained frozen through to 2025/26. The annual equivalent is £12,570, which is aligned with the Income Tax Personal Allowance.
Further Reading
- Class 1 Employee NI: Rates & Bands — current employee NI rates in detail
- Employer NI Contributions — the 2025/26 employer NI rate and threshold changes
- Class 4 NI: Rates & Thresholds — current self-employed NI in detail
- Class 2 NI: Rates & Thresholds — voluntary Class 2 contributions for the self-employed
- The Employment Allowance — the £10,500 employer NI reduction
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