In the Spring Budget 2021, which policies were announced?

• A. Decrease in National Insurance
• B. Tax cuts for middle-income families
• C. Increase in National Insurance and a new social care levy
• D. Privatization of the NHS

Answer: (C)

The main idea here is understanding how the Spring Budget 2021 financed health and social care. The standout moves were to raise National Insurance contributions and to introduce a new social care funding mechanism. Specifically, National Insurance was increased by 1.25 percentage points to raise more money for health and social care, and a separate Social Care Levy (often described in coverage as a Health and Social Care Levy) was announced to provide a dedicated funding stream for those sectors. This combination reflects the budget’s focus on long‑term funding for the NHS and adult social care rather than tax cuts or privatizing the NHS. The other options don’t fit because there were no NIC rate cuts, no middle‑income tax cut package announced in that budget, and no plan to privatize the NHS.