Tax/NI merger would be 'spectacular own goal'

George Osborne announced during the last budget the government will consult on combining tax and NI, but he reassured MPs any reform would not impose NI on pensioners. However, Steve Herbert, head of benefits strategy at Jelf, warned any combination of tax and NI would render salary sacrifice impossible. "The merger of tax and NI is a huge hammer blow to salary sacrifice and we do not believe the government has properly considered the consequences for employees, employers or indeed its own objectives," said Herbert. "On the one hand the Department for Work and Pensions is seeking w...