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Martin Lewis explains what the rise in National Insurance means for you after Chancellor Rachel Reeves announced her first Budget - Labour's first in 14 years.

Reeves announces that employers' National Insurance contributions will rise from 13.8% to 15%.

In addition, the threshold at which businesses start paying National Insurance on a workers' earnings will be lowered from 拢9,100 to 拢5,000.

Martin says it鈥檚 that drop in threshold "that makes the biggest impact".

He says "That means for every employer who pays it, which is a crucial phrase, that's an extra 拢615 along just because of that change in threshold, that is a lot of money to be added on.

"So while it is certainly not a direct tax increase on working people, it will likely have an indirect effect鈥�.

This clip was originally from Matt Chorley on 30 October 2024.

Listen back on 麻豆约拍 Sounds and listen to the special Budget episode of the Martin Lewis podcast on 麻豆约拍 Sounds now.