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A government minister has said that the National Insurance increase "is going ahead", despite pressure from Conservative MPs to scrap the tax hike to win back public support.
The 1.25% increase is planned for April, but how much extra money would you actually be paying to the government each year if the rise is implemented?
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The Prime Minister has faced pressure from Conservative MPs to delay the National Insurance hike in light of an official inquiry into Partygate allegations.
They believe that this would be a way to win back support as he awaits the findings of the report from Sue Gray.
There are also concerns that the rise from 12% to 13.25% in NICs comes at a time when many are facing financial difficulties.
In recent months the cost of living has increased, inflation reached a 30-year high of 5.4% and the energy price cap is set to rise in the Spring.
According to the Resolution Foundation, the average family will see a £1,200 hit to income this year because of the general rising cost of living.
A 1.25% rise in National Insurance on top could be the "perfect storm" for increased poverty, says Conservative Cllr Claire Nelson from Sevenoaks District Council.
For those earning £20,000 per year, their National Insurance contributions will rise from £1,252 to £1,382 every year - an increase of £130.
A salary of £50,000 per year will mean a contributions increase of £505.
Those earning over £100,000 will be paying £7,009 in National Insurance - up £1,130.
While NICs are a progressive tax for the majority of workers, it is in fact a regressive tax when looking at the highest earners in society.
Currently, for those earning over £50,000, any earnings above this threshold will only be taxed 2% - a disproportionate tax on their income.
Tudor Price from Kent Invicta Chamber of Commerce said: "No one likes tax, but there are only two certainties in life - tax and death.
"In this situation, I think it's the timing that's just not good.
"We recognise that a lot of money has been spent and the coffers need to be refilled and that's understandable."
He added: "We could do with a delay on this. It's not just the employee that will be paying an extra 1.25%.
"The employer has a contribution to make as well on top of what they take from the employee and pass on to the tax payer.
"Plus we're under pressure on wages at the moment - most employers are having to look at inflation and what they're paying their staff to try and make that up so that they can meet the cost of living."
In fact, with the cost of living rising, some people in full-time employment are also having to rely on charities and food banks to make ends meet despite having a job.
Peter Taylor-Gooby, a trustee at Canterbury Food Bank and a professor in social policy at the University of Kent believes that this rise in April could have harsh real world impacts.
Peter said: "It's a very tough time for people now, especially for those on lower incomes.
"Especially over the course of the pandemic, we have seen more and more people coming to the food bank."
"What we're noticing now is that we've got more people coming to us than we've every had before.
"We gave out 11,000 meals roughly in December - that's the highest level than we've ever had and there seems no end to it."
Food banks across the county have battled with benefit cuts, job losses and many other economic factors, and are heavily relying on donations to ensure they can continue providing this service.
The Prime Minister has said that the hike is necessary to help fund the social care overhaul.
This includes a pledge to invest £36 billion over the next three years to help the NHS recover from the pandemic.
He also promised that from October 2023, nobody will pay more than £86,000 for their social care - regardless of their assets.
The government will also fully cover the cost of care for those with assets under £20,000, and contribute to the cost of care for those with assets of between £20,000 and £100,000.
Cllr Claire Nelson said that she disagrees with the timing of the National Insurance hike and the government should be finding alternative ways to fund the social care reform.
She said: "We in this country have never really had a proper conversation about what it is we would like, and what we would be prepared to pay for our loved ones to be cared for.
"I think this is the start of the conversation but I fear that this money is going to be bounced around within the NHS.
"It's not necessarily going to pay for doctors, nurses and paramedics - the NHS is a large organisation and that needs to be properly looked into as to where this money will go.
"Especially as we're all living longer and working longer, social care is only going to get more expensive.
"I like this idea that we're investing in the NHS but we're in danger of overestimating just how much money is actually going in to solve the problems."