Class 2 National Insurance Explained (2026/27)
Class 2 is the flat-rate National Insurance for self-employed people. Since April 2024 it is £0 for most people – but it still matters for your State Pension record. Here is what changed and when to pay voluntarily.
What is Class 2 National Insurance?
Class 2 is a flat weekly National Insurance contribution paid by self-employed sole traders. Historically everyone paid it, but the rules changed in April 2024: Class 2 is now £0 for anyone with profits above the Small Profits Threshold.
Class 2 rates and thresholds (2026/27)
| Annual profit | Class 2 (2026/27) |
|---|---|
| Below £7,105 (Small Profits Threshold) | £0 due – voluntary £3.65/week available |
| £7,105 and above | £0 (qualifying NI year earned) |
If your profit is at least £7,105, you automatically build up a qualifying National Insurance year for State Pension purposes – without paying anything.
When the voluntary £3.65 rate is worth paying
If your profit is below £7,105 you get no record automatically, but you can pay Class 2 voluntarily at £3.65 a week (about £190 a year) to keep your record complete. It may be worthwhile if:
- You need more qualifying years for a full State Pension (typically 35 years).
- You had a quiet trading year below the threshold.
- You are building towards a contribution-based benefit such as the new-style Jobseeker's Allowance.
Before paying, check your record on gov.uk – Check your National Insurance record. If you already have enough qualifying years, it may not be necessary.
How Class 2 compares with Class 3 and Class 4
| Class | Who pays | 2026/27 |
|---|---|---|
| Class 2 | Self-employed (voluntary below SPT) | £0 or £3.65/week voluntary |
| Class 3 | Anyone topping up gaps voluntarily | Higher weekly rate (voluntary) |
| Class 4 | Self-employed on profits | 6% / 2% on profits |
Class 2 voluntary at £3.65 a week is the cheapest way to protect a qualifying year – far less than Class 3.
Check what you owe in seconds
Enter your profit and see Class 2 status and Class 4 together, for 2026/27 or 2025/26.
Calculate your NI →FAQs
Do I still pay Class 2 National Insurance in 2026/27?
No – it is £0 for anyone above the £7,105 Small Profits Threshold. Below it you can pay voluntarily at £3.65 a week.
What is the Class 2 Small Profits Threshold for 2026/27?
£7,105. Above it you earn a qualifying NI year at no cost.
What is the difference between Class 2 and Class 4?
Class 2 is a flat weekly contribution (now £0 for most); Class 4 is a percentage of profit – 6% between £12,570 and £50,270 and 2% above.