Which tax was reduced from 10% to 8% in the April 2024 Budget?

The reduction of the tax from 10% to 8% in the April 2024 Budget corresponds to National Insurance (NI). This change is significant as National Insurance contributions are used to fund various social security benefits, including the state pension and other welfare programs. A reduction in these contributions can provide immediate financial relief to both employees and employers, making it a notable aspect of fiscal policy aimed at boosting economic activity or addressing cost-of-living concerns.

Understanding the role of National Insurance is crucial, as it directly affects individuals' take-home pay and can influence employment decisions by companies. The overall intent behind such a tax reduction is usually to encourage spending and investment in the economy, especially during times when economic growth may be sluggish.

The other options, such as Income Tax, Capital Gains Tax, and VAT, involve different economic considerations and have distinct impacts on individuals and businesses. They do not specifically pertain to the 10% to 8% change detailed in the question, highlighting the focus on National Insurance in discussions surrounding tax legislation.