This article picked by a teacher with suggested questions is part of the Financial Times free schools access programme. Details/registration here.

Specification: 

  •  Fiscal policy, labour markets, market failure

Click to read the article below and then answer the questions:

Who are the winners and losers from the UK’s £12bn social care tax raid?

  • Outline the changes which will be applied to National Insurance Contributions (NICs), the so-called Health and Social Care Levy, from April 2022.

  • As a result of the changes to NICs, how much NICs will employees pay if their income is:

    a. Less than £9,568;

    b. Between £9,658 and £50,270; and

    c. Greater than £50,270.

  • Explain how freezing personal allowances from 2022 will also increase the government’s tax take — https://www-ft-com.ezp-prod1.hul.harvard.edu/content/2f485d0b-ee4d-4b20-9e4c-ad3ed52ffec4

  • Using a labour market diagram(s), analyse the potential unintended consequences of the ‘two tax hikes.’

Gavin Clarke, Emmanuel College

Copyright The Financial Times Limited 2023. All rights reserved.
Reuse this content (opens in new window) CommentsJump to comments section

Follow the topics in this article

Comments