Employers' Contributions: Business
The question
To ask the Chancellor of the Exchequer, with reference to paragraph 2.40 of the Autumn Budget 2024, HC 295, published on 30 October 2024, if she will make an assessment of the potential impact of the planned rise in employer's national insurance contributions on businesses.
Answered by James Murray
Raising the revenue required to fix the public finances and restore economic stability requires difficult decisions on tax, which is why we are asking employers to contribute more.
The government will protect the smallest businesses by increasing the Employment Allowance to £10,500 and removing the £100,000 eligibility threshold. This means that next year, 865,000 employers will pay no National Insurance contributions at all and more than half of employers will see no change or will gain overall from this package.
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