Britain is expected to announce a tax hike for about 25 million people, in a move that would cap social-care costs for individuals and increase funding for the National Health Service, Trend reports citing Reuters.
UK Prime Minister Boris Johnson next week will reveal the rise in National Insurance, a type of tax paid to fund government benefits programs, the report said.
The prime minister's office favours a 1% rise in the tax, while the Treasury is possibly looking at a higher rate of up to 1.25%, according to the report.
In return, the government will cap the amount a person can spend on social-care costs during their lifetime, possibly at between 60,000 pounds ($83,010) and 80,000 pounds, according to the newspaper.
The tax hike will be a manifesto-breaking one for Johnson, with his Conservative Party ruling out raising the main rates of income tax, value-added tax or National Insurance during its 2019 election campaign.
For the NHS, the proceeds will be used to clear a backlog built up during the COVID-19 pandemic, the report added.