• The reversal of April’s rise in National Insurance takes effect across the UK from today
• Added to July’s increase in National Insurance thresholds, almost 30 million people will be £500 better off on average next year
• Most employees will start to receive this tax cut directly through payroll between November and February

The tax cut was announced by the government on 22 September, as part of the reversal of the Health and Social Care Levy.

Working people across the UK will begin receiving the tax cut in their payslips this month, with all expected to have started receiving it by February.

The move to reverse April National Insurance increase follows the rise in National Insurance thresholds in July. As a result of both measures, working people will be £500 better off, on average, next year.

Funding for health and social care services will be maintained at the same level as if the levy were in place.

It takes effect in all parts of the UK and means working people will keep more of the money they earn.

Bank holiday proclaimed in honour of the coronation of His Majesty King Charles III

The Prime Minister has decided to proclaim an additional bank holiday to mark the Coronation of His Majesty King Charles III next year.

The bank holiday will fall on Monday 8 May, following the Coronation on Saturday 6 May.

In line with the bank holiday to mark Her Majesty Queen Elizabeth II’s Coronation in 1953, this will be an opportunity for families and communities across the country to come together to celebrate.

The bank holiday will take place across the United Kingdom.

Prime Minister Rishi Sunak said:

“The Coronation of a new monarch is a unique moment for our country. In recognition of this historic occasion, I am pleased to announce an additional bank holiday for the whole United Kingdom next year.”

“I look forward to seeing people come together to celebrate and pay tribute to King Charles III by taking part in local and national events across the country in his honour.”

Chancellor of the Duchy of Lancaster Oliver Dowden said:

“The Coronation combines the sacred and the solemn but it is also celebratory.”

“This bank holiday will once again give people across the United Kingdom the opportunity to come together as families and communities to welcome His Majesty to the throne as we mark this important day in our nation’s long history.”

A Foreign, Commonwealth & Development Office spokesperson said:

DPRK launching four short-range ballistic missiles on 5 November would be a clear violation of UN Security Council Resolutions.

As the G7 Foreign Ministers agreed this week, the DPRK must abandon its nuclear weapons, existing nuclear programs, and any other weapons of mass destruction and ballistic missile programs in a complete, verifiable and irreversible manner.

The Private Members Bill on Co-operatives, Mutuals and Friendly Societies grants HM Treasury the power to bring forward regulations to give those mutuals further flexibility in determining for themselves the best strategies for their business, relating to their surplus capital. This will provide additional safeguards against demutualisation for the societies that choose to adopt the so-called “asset lock”.

The Bill is therefore a valuable opportunity to support mutuals who wish to ensure that their underlying assets, in many cases built up over centuries by members pooling their resources together for the greater good, are protected and the mutual model preserved into the future.

By allowing for an iron-clad guarantee in legislation for mutuals that wish to adopt these restrictions, the Bill will make these asset locks harder to unpick. It will provide additional safeguards against demutualisation – where a mutual becomes a company with shareholders, a process which can, in some cases, aim to capture the asset value of the mutual as a windfall. It will ensure mutual capital is maintained for the purpose it is intended; to provide goods and services to those who need them now and for future generations.

Importantly, the Bill has been drafted to ensure the government has time to engage closely with the sector, regulators, and legal experts as the secondary legislation to give effect to the policy is developed.

This will allow the final design of the policy to take account of the existing rights and interests of consumers, particularly policyholders of financial mutuals, and to reflect the different types of business models in this diverse sector.

More broadly, the government aims to develop a modern and supportive business environment to set mutuals up for future growth and success and is currently exploring the options for reviewing key legislation underpinning the sector.

Further information

• Mutuals operate up and down the country and are organisations owned by, and run for, their members. Industry estimates suggest that mutual insurers and friendly societies support the savings, pensions, protection and healthcare needs of over 30 million people in the UK. There are over 7,000 co-operatives across the UK with a combined turnover of £39.7 billion.