Class 4 National Insurance Contributions

Lord Tyrie Excerpts

Wednesday 15th March 2017 Commons Chamber

[Mr Andrew Tyrie (Chichester) (Con)]

This announcement bolsters trust in the Government’s other commitments, and removes the perception of a cigarette paper between No. 10 and No. 11, so it is doubly welcome. Does the Chancellor agree that a differential should, none the less, remain in the long run to reflect the additional risk taken by the self-employed when they are doing their job?

[Mr Hammond]

In the Budget speech last week, I made it very clear that we were seeking to close the gap a little. We were not seeking to equalise the contributions treatment of the employed and self-employed, as there are very good reasons why there may well need to be a gap. That is why we will look at this in the round—contributions, entitlements and the way the whole package works for the self-employed. Let us come back to this once we have completed the review, have the Matthew Taylor work and can look at the problem in the round.