For the first half of the year, total tax take was £438.6bn, marking a £32.1bn jump in tax raised in the same period in 2024.

Despite the 4% cut in employee NICs this figure has shot up from £3.75bn in September 2024 to £4.15bn in September 2025.

The pain businesses are feeling from employer NICs hike is clearly showing in the tax receipts, standing at £11.85bn for the month, up from £8.89bn last year. It is worth bearing in mind that the increase is only reflected in HMRC figures from May onwards. It is on track to raise the chancellor’s much needed £23bn for this tax rise alone as set out in last autumn’s Budget estimates.

The endless fiscal drag is causing real pain for taxpayers with tax take up across the board except for alcohol duties. VAT is also up, no doubt impacted by high inflation pushing up food and energy costs, and now hitting £87.3bn in six months, up £4bn on the same time last year, now HMRC has adjusted the error in calculations spotted in the August figures.