National Insurance Contributions (Secondary Class 1 Contributions) Act

Originating House

House of Commons

Last Updated

30 April 2025

In Plain English

AI-generated

This Act changes the rules around employers’ National Insurance contributions on employees’ earnings (secondary Class 1). It has now become law after Parliament approved it and granted Royal Assent, completing its passage through both Houses.

Key Points

Changes how employers pay secondary Class 1 National Insurance on employees’ earnings.
Has completed Parliament’s passage and received Royal Assent to become law.
Commons repeatedly disagreed with Lords amendments in several votes.
Supported by Labour and allied groups; opposed by Conservative and many other parties.
Affects employers, payroll staff and employees who pay or are affected by these contributions.

Progress

The bill has completed its passage and became law after receiving Royal Assent.

Voting

In the Commons, the bill passed all readings with large majorities (e.g., Third Reading 354-202; Second Reading 332-189). It was broadly supported by Labour and allied groups and opposed by Conservatives and many other parties. Lords amendments were rejected by the Commons in multiple votes, allowing the Act to proceed to Royal Assent.

Who is affected?

Employers who pay secondary Class 1 National Insurance on employees’ earningsEmployees whose earnings are subject to NIC changesPayroll and HR professionalsBusinesses and organisations employing staff (including public sector employers)HM Revenue & Customs and other government bodies implementing NIC rules

Generated 21 February 2026

How Parties Are Voting

Based on 11 recorded votes • Sorted by % Aye

Labour (Co-op)Generally For

3142 / 325

Your PartyGenerally For

6 / 1

IndependentGenerally Against

22 / 54

Reform UKGenerally Against

7 / 52

Scottish National PartyGenerally Against

9 / 84

Plaid CymruGenerally Against

4 / 39

Ulster Unionist PartyGenerally Against

1 / 10

Traditional Unionist VoiceGenerally Against

1 / 10

Liberal DemocratGenerally Against

63 / 634

Democratic Unionist PartyGenerally Against

4 / 41

ConservativeGenerally Against

91 / 947

Green PartyGenerally Against

0 / 22

Social Democratic & Labour PartyGenerally Against

0 / 6

AllianceGenerally Against

0 / 1

Sinn FéinMixed

0 / 0

SpeakerMixed