Similarly, Helen Morrissey, senior pensions and retirement analyst at Hargreaves Lansdown, says the national insurance threshold hike must not impact state pension entitlement.
She says: "Care must be taken that workers earning less than £12,570 a year do not lose access to vital national insurance credits for state pension.
"The state pension forms the backbone of most people’s retirement and therefore they should ensure they do not incur gaps unnecessarily that mean they end up with less in retirement."
She urges people to check which benefits they are entitled to that automatically pay national insurance credits, such as child benefit, universal credit and job seekers allowance and to check where else they can apply for credits.
A further option for people looking to plug gaps in their state pension record is to buy voluntary national insurance credits, she says. "Every missed year costs around £800 and will give you 1/35th of your entitlement. Over the course of retirement, these can be a very good value way of boosting your state pension entitlement."
The rabbit: income tax
Sunak's statement ran the risk of leaving behind an underwhelming taste of 'it was to be expected', despite the higher than anticipated NI threshold hike.
The chancellor ended his statement with a tax rabbit
But in a reminder to never underestimate a chancellor at the despatch box, he ended his speech by pulling out a rabbit of considerable size, at least in terms of the surprise factor.
Before 2024, the end of the current parliament, the chancellor pledged he would cut the basic rate of income tax by 1 percentage point to 19 per cent.
This is the first cut in 16 years. "The biggest tax cut to Britons in over a quarter of a century", he told the crowing chamber.
According to the OBR, by 2024, inflation is expected to back under control, with debt falling sustainably and the economy growing.
Sunak said: “Our fiscal rules are met with a clear margin of safety and so my final announcement today is this.
“I can confirm that before the end of this parliament, in 2024, for the first time in 16 years, the basic rate of income tax will be cut from 20 to 19 pence in the pound.
“A tax cut for workers, for pensioners, for savers. A £5bn tax cut for 30mn people and let me be clear with the house, it is fully costed and fully paid for in the plans announced today.”
The industry's response has been welcoming but somewhat muted.
Sarah Coles, senior personal finance analyst at Hargreaves Lansdown, says the promise of an income tax cut in April 2024 offers "hope for the future".
