From 6 April 2024, self-employed people with profits equal to or above the small profit threshold are treated as having actually paid Class 2 national insurance contributions (NIC), and so are not required to pay Class 2 NIC but still have access to contributory state benefits, including the state pension.

The option to voluntarily pay Class 2 NIC where profit levels are below the small profit threshold is available in order to allow self-employed individuals to obtain NIC credits. For the 2026/27 tax year, the rate of Class 2 is £3.65 per week and the small profits threshold is £7,105 (£3.50 per week and £6,845 for the 2025/26 tax year).

Note that the ability for UK non-residents to pay voluntary Class 2 NIC for periods abroad is largely removed from 6 April 2026. This means the 2025/26 tax year is the last in which UK non-residents can pay voluntary Class 2 NIC (rather than voluntary Class 3 NIC) for time spent abroad. From 2026/27 onwards, UK non-residents must pay Class 3 NIC if they wish