Government scraps National Insurance hike as questions raised over Philip Hammond's position as Chancellor

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‘Philip Hammond has abandoned plans to raise national insurance for self-employed workers in this Parliament after admitting that it breached the “spirit” of the manifesto.

The Chancellor, provoked a furious reaction from Tory back-benchers after using his Budget to announce plans to raise NI contributions for the self-employed by 2 per cent.

Mr Hammond has written to Tory MPs saying that while the changes are justified the Government has chosen not to go forward with the rise in “class 4” national insurance contributions.

It represents a huge blow to Mr Hammond and the most significant Budget u-turns in modern times.’

Read more:¬†Government scraps National Insurance hike as questions raised over Philip Hammond’s position as Chancellor