Date:   7th April 2010
 
 Dear Prime Minister

National Health Service and National Insurance, Increase not enough?

 I am surprised to hear that the proposed increase in National Insurance contributions has been described as a tax on employment.

 It is my understanding that our payments to the National Insurance scheme are meant to provide the funding for the National Health Service, Unemployment Benefit (Job Seekers Allowance) our State Pension and several other benefits. Do they still?

With the increasing cost of providing health care, due to people living longer and the greater expenditure on hospital equipment the obvious answer is to increase the contribution of working people (everyone in employment) to the National Insurance Service (NI).

 I do not understand why anyone should object to an increase in their NI contributions. Everyone knows that because people are living longer, due to our excellent National Health Service and a greater understanding of what we need to keep healthier, that we will need to have a pension for a longer retirement, and might need long term health care. More money is needed, therefore the NI contribution needs to be increased. The proposed increase is probably not enough. The French pay more, for example, for their health service. It is surely, only fair that our contributions cover the cost of these essential services. Tax on employment! Surely this accusation can be rejected?

 I have never quite understood why the employer should pay towards the NI contributions though, unless, it is because the employer gradually makes the employee ill due to unhealthy working conditions, and stress! Should the employers contribution be gradually reduced? If not why not?

 What I believe people do object to, is the extent to which their hard earned money is wasted by bureaucracy.   The alternative to increases in NI is raising revenue from the proposed Labour Death Tax and confiscation of money from those who have worked all their life to own the house they live in by Inheritance Tax and having to sell their property to meet the cost of their care.  Many people feel that these types of taxes are totally unacceptable, except for the super rich. However, perhaps the Labour Party would prefer that people lived in council houses and paid rent rather than scrimp and save to buy their own house?

 Yours sincerely

 A. Citizen

 

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