Boris Johnson is expected to announce a tax hike for 25 million people in the UK, according to reports.
The increase in tax is to pay for an overhaul to social care and to bring down NHS waiting lists.
The Prime Minister will announce a rise in National Insurance that will see 25 million people pay extra tax, reports The Telegraph and The Times.
Any rise in national insurance is expected to face criticism as it is likely to disproportionately hit millions of younger people.
Pre-recess Boris Johnson faced increasing pressure to offer details on his plan for social care reform, which he said was ready when speaking on the steps of Downing Street in 2019.
Boris Johnson pledged not to increase income tax, VAT or national insurance
At the 2019 general election, the Conservatives pledged in their manifesto not to raise the rate of income tax, VAT or national insurance.
But the idea of increasing national insurance was floated earlier this year.
When asked if there could be no national insurance hike, Business Secretary Kwasi Kwarteng told Sky News in July: “That’s what it says in the manifesto, I don’t see how we could increase national insurance.
“But you know things have been very flexible over the last 18 months, we’ve lived through an unprecedented time, we’ve been spending huge amounts of money that we never thought was possible and it’s up to the Chancellor and the Treasury, and the wider Government, to decide a budget.”
Boris Johnson, Rishi Sunak and Sajid Javid behind decision
Boris Johnson, Chancellor Rishi Sunak and Health Secretary Sajid Javid are the three main players involved in the decision.
The Times said Mr Javid has pushed for a 2% increase to help fully fund the plan, adding Mr Sunak was arguing against any increase of more than 1%.
Munira Wilson, the Liberal Democrats spokesperson for health and social care, said in a statement the reported 2% increase being sought by Mr Javid was “unfair and unjust”.
“Sajid Javid is putting the burden on the same people who have been hardest hit by the pandemic, and Boris Johnson has today broken his manifesto promise not to raise taxes,” the MP said.
“Has it really taken all this time, to make a decision to rip-off the people who can least afford to shoulder the burden of social care?”
The Daily Telegraph said it had been told Number 10 favours a one percentage point rise but the Treasury is pushing to go higher, possibly by up to 1.25 percentage points.
Both papers said no final decision has been taken and discussions are ongoing.
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