This would hit the accountancy sector hard as many firms choose to operate as limited liability partnerships (LLPs), with ‘equity partners’ holding a stake in the business and the partners working in a self employed capacity. This structure is also widely used by law firms, fund managers, private equity and GP practices, bringing accountants, tax advisers, lawyers and GPs into the NI net for the first time.

While the Treasury will not comment on any Budget related fiscal announcements before the big day on 26 November, the protracted lead time and apparent £20-£30bn shortfall means the chancellor is reviewing all possible options.

Charging LLP members employer national insurance could raise an estimated £2bn for the Treasury, and meet the government's pledge not to increase tax on ‘working people’ as only last week chancellor Rachel Reeves said ‘tax rises would fall on those with the broadest shoulders’, with higher taxes on the wealthy forming a mainstay of next month’s Budget.

Affluent