What are employer national insurance contributions and what would raising them do?

Increasing employer national insurance contributions (NICs) could significantly impact public sector finances, as the state would cover extra costs incurred by public sector employers.

National insurance is primarily paid on earned income, and any changes to NICs will disproportionately affect workers and employers. The employer NICs contribute significantly to overall taxation.

The potential increase in NICs is under scrutiny, as any adjustments may conflict with Labour party's previous manifesto commitments that emphasized not raising certain taxes, influencing their electoral strategy.

Read at www.theguardian.com