http://www.teletext.co.uk/personalfinance/savings/default.aspxen-gbWed, 9 Dec 2009 14:50:05 GMThttp://www.teletext.co.uk/images/Logo64x64.gifhttp://www.teletext.co.uk
Alistair Darling announced the tax hike alongside a 50% super-tax on bank bonuses in what was otherwise a cagey Pre-Budget Report.

All employer, employee and self-employed rates of NI will rise by 0.5p in the pound from April 2011.

The hike comes on top of plans unveiled in last year's PBR to increase the tax by 0.55p in April 2011.

But the starting point from which NI is payable will be raised, so that no-one earning less than £20,000 a year will pay any more.

The Chancellor was forced into tax-raising measures by the need to begin paying off the UK's colossal, and rising, public-debt mountain.

Meanwhile, bankers rewarded with bumper bonuses will have to hand half of their excess earnings to the taxpayer.

If banks pay substantial rewards to staff they will pay a one-off levy of 50% on any bonus above £25,000.

In other measures, the Chancellor confirmed the basic state pension will rise by 2.5% in April, and he capped public sector pay rises at 1% for two years from 2011.

Mr Darling unveiled the plans as he confirmed Britain has suffered its worst recession since the 1930s.

He admitted the recession had turned out to be deeper than he had predicted at the Budget in April.

Mr Darling downgraded his forecast for 2009 to a contraction of 4.75%, instead of the 3.25-3.75% decline originally predicted.

But the Chancellor said he expects growth of 1.0% to 1.5% in 2010 - sticking to the forecast he made in the April Budget.

Source: thisismoney.co.uk

]]>bc082832c1768aafc567894fdee06283http://www.teletext.co.uk/personalfinance/savings/bc082832c1768aafc567894fdee06283/National+Insurance+tax+rise.aspxhttp://www.teletext.co.uk/personalfinance/savings/bc082832c1768aafc567894fdee06283/National+Insurance+tax+rise.aspx
It allows you to switch from old online accounts to earn a better rate.

If you are with a bank or building society which will not let you switch to the rate it is paying new savers, then vote with your feet and find a better deal elsewhere.
Source: thisismoney.co.uk

]]>215516effc42bb88c7080bd5ed6212a1http://www.teletext.co.uk/personalfinance/savings/215516effc42bb88c7080bd5ed6212a1/Savings+rates+slashed.aspxhttp://www.teletext.co.uk/personalfinance/savings/215516effc42bb88c7080bd5ed6212a1/Savings+rates+slashed.aspx