A consultation process has opened into the island’s National Insurance scheme.

It follows the publication of an independent report into the National Insurance Scheme, commissioned by Treasury last year.

The report identified a number of areas that could be reformed to make the scheme fairer and to remove certain anomalies.

The current scheme in place ‘has changed very little since the mid-1970s’.

Treasury Minister Dr Alex Allinson said: ‘The National Insurance Scheme is not well understood by many but it plays a significant role in providing benefits and state pensions to large numbers of people.

‘It is only right that those who benefit from this scheme should, where appropriate, contribute to it.’

The consultation, which is open until Friday, October 7, raises the following issues:

l Whether all workers should pay National Insurance regardless of how their affairs are structured

l Whether employees who own their own business should pay National Insurance which aligns with a self-employed individual

l Removing the requirement to pay Class 2 National Insurance contributions on a monthly basis and paying them instead alongside Class 4 National Insurance contributions as part of an income tax assessment

l Aligning definitions so that, where possible, income from employment is treated equally for both the purposes of National Insurance and income tax

The consultation and associated documents, which may be downloaded, can be found by visiting the Isle of Man Government’s online consultation hub at https://consult.gov.im/

A paper version of the consultation can be requested by emailing [email protected] @gov.im or calling 685400.