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In Domestic Affairs

PM introduces the dividend tax hike in order to fund NHS expenses

8th September 2021 Matthew Patridge

PM introduces the dividend tax hike in order to fund NHS expenses Pin It

The British government wants to release £12 billion a year for social services and health care, including by increasing the dividend tax. This turned out on Tuesday in the Build Back report. The government introduces a additional dividend tax of 1.25 percent. This is based on the so-called National Insurance contributions. As of April next year, the dividend tax will increase by this percentage, which brings the basic rate to 8.75 percent.

In a statement on Tuesday, Prime Minister Boris Johnson said that the coronavirus crisis has increased the problems, but that there were health problems even before the outbreak of the pandemic.

“No government wants to raise taxes, but they must also not neglect their duty of care towards their citizens.”

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