RISHI Sunak must axe the National Insurance hike to help Brits facing cost of living woes, say “blue collar” Tories.
The 1.25 percentage point rise will eat into pay packets from April — just weeks after fuel and council tax bill increases kick in.
Workers on £30,000 will lose another £255 shortly after energy costs almost double to £2,000 — and this with inflation at a 30-year high. Esther McVey, founder of the Blue Collar Conservatism pressure group, urged Chancellor Mr Sunak to scrap the National Insurance rise.
The cash is earmarked for health and social care but for the first three years will help fund the NHS treatment backlog caused by the pandemic.
The MP said: “At a time when people are struggling with the cost of living, the last thing we should be doing is piling taxes higher for families. The Government should be on their side.”
Fellow Tory MP Steve Baker said: “National Insurance hikes are never a good idea and especially not now. The Government should abandon this rise.” A Government spokesman said the NI increase would see those earning more pay more and raise around £13billion a year.
He said the levy would benefit NHS patients and free people from having to pay “catastrophic” adult social care costs.
Meanwhile, the Treasury is considering giving council tax rebates to those in Bands A to C to help with energy costs, it has been reported. Ofgem will announce the new, higher price cap next month.