Plans to increase National Insurance rates for self-employed people – announced in the Budget last week – have been dropped.

Chancellor Philip Hammond announced on Wednesday that he would not be raising Class 4 National Insurance contributions as he had planned to in last week’s Budget.

Class 2 National Insurance contributions will still be abolished from April next year.  They are paid at a flat rate of £2.80 a week by anyone making profits of more than £5,965 a year.