From 6 April, a number of tax changes will come into force affecting businesses and individual taxpayers.

The big tax change worrying businesses and employees alike is the 1.2% hike in employer’s National Insurance contributions (NICs). This affects all employers, adding an average £800 per head to employment costs. The impact will be felt more acutely as it is coupled with the slashing of the secondary threshold to £5,000 from current £9,100.

At the same time, the employment allowance has been increased to £10,500 from £5,000. The £100,000 threshold has also been removed, expanding this to all eligible employers.

HMRC interest rates for late payments will be increased by 1.5% for all taxes from 6 April, which means a rate of 8.5% will be due in future. The rate is calculated at base rate plus 4%, up from the current plus 2.5% premium.