Voluntary National Insurance contributions could be reformed

by Aitch, posted in National Insurance

The government is considering changes to the voluntary National Insurance contributions (NICs) system following a call for evidence published earlier this year.

Voluntary NICs allow individuals to fill gaps in their National Insurance record where they have not built up a qualifying year through compulsory contributions or National Insurance credits. They can help individuals build entitlement to the State Pension and, depending on the class paid, certain contributory benefits.

The call for evidence considered whether the current system delivers fair outcomes, how voluntary NICs interact with National Insurance credits and whether changes are needed to eligibility, pricing and access. The government also sought views on partial-year gaps, information and guidance, and contributions for periods spent abroad. The call for evidence closed on 15 September 2026. The feedback to the document will help inform the government’s consideration of possible future reforms.

Changes have already been put in place restricting access to making Voluntary NIC for people living or working outside the UK. Since 6 April 2026, voluntary Class 2 NICs can no longer generally be paid for periods abroad. New applications for voluntary Class 3 NICs for periods abroad now require either 10 continuous years of UK residence or 10 qualifying years of National Insurance contributions, subject to specific exceptions and transitional arrangements.

The changes do not prevent qualifying individuals from paying voluntary NICs for tax years before 2026-27. Existing overseas Class 3 payers can also continue to make contributions under transitional rules.

Source:HM Government | 28-09-2026
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Aitch
I'm Aitch, the Founder and CEO of CIGMA Accounting Ltd. As a Chartered Management Accountant and as a CIMA member, I've spent more than 16 years helping businesses, entrepreneurs, landlords, and individuals with tax planning, accounting, and HMRC compliance. As a chartered accountant in London, I'm passionate about making complex tax matters easier to understand and helping clients make confident financial decisions. Over the years, I've advised start-ups, SMEs, established companies, and high-net-worth individuals across a wide range of tax and accounting matters. My expertise includes Corporation Tax, Self-Assessment, Capital Gains Tax, Inheritance Tax planning, R&D tax relief, capital allowances, international tax, and resolving complex HMRC compliance issues. Whether clients need a business accountant, tax accountant, or strategic tax advisor, my focus is always on delivering practical advice that creates long-term value. One of my specialist areas is Making Tax Digital (MTD). I've worked extensively with businesses preparing HMRC's digital reporting requirements, helping them move to cloud accounting, improve financial processes, and adopt technology that makes compliance more efficient. I regularly speak at Making Tax Digital roadshows, industry events, and educational sessions in collaboration with Zoho Books, sharing practical insights into digital accounting, tax legislation, and the future of the profession. Many business owners looking for the best accounting firm in London are not simply searching for an accountant they're looking for trusted advice, responsive support, and long-term value. That's the approach I've taken in building CIGMA Accounting. My team and I work closely with businesses across London and the UK, providing accounting services, tax advisory, bookkeeping, payroll, VAT, company accounts, and strategic tax planning tailored to each client's goals. Through this website, I share practical guidance on UK taxation, Making Tax Digital, HMRC updates, Corporation Tax, Self-Assessment, and business finance. My aim is to provide reliable, straightforward information that helps business owners understand changing regulations, reduce compliance risks, and make informed financial decisions with confidence.
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