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Originally Posted by Chrysalis
did I say social security benefits?
I said pensions and IB. Not child benefit, housing benefit and the rest.
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National Insurance contributions count towards the following state benefits:
the basic State Pension
the additional State Pension, sometimes called the State Second Pension
Jobseeker's Allowance - the 'contribution-based' element
Employment and Support Allowance - the 'contribution-based' element
Maternity Allowance
bereavement benefits - Bereavement Allowance, Bereavement Payment and Widowed Parent's Allowance
Incapacity Benefit
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The dependent contributions aside NI is just another tax, in order to compensate for loss of NI revenue to the general tax pool other taxes would have to be increased.
EDIT: As a reminder there are other benefits available to pensioners, and indeed a number that just draw the basic state pension will be topped up in some way via welfare. It would be interesting to see those figures actually.
Lastly NI also partly funds the NHS and is the fund used to pay SSP.