Employers' Contributions: Wales
The question
To ask the Chancellor of the Exchequer, pursuant to the Answer of 4 November 2024 to Question 11940 on Employers' Contributions: Wales, whether the referenced support will be provided annually; and over what duration that support will be provided.
Answered by Darren Jones
The Government will provide support for departments and other public sector employers for additional Employer National Insurance Contribution costs only. This funding will be allocated to departments, with the Barnett formula applying in the usual way. Given the impacts of this policy change need to be worked through in further detail, this additional support has not yet been included in departmental or devolved government settlements for 2025-26. However, the Government will make these allocations as soon as possible to inform planning for 2025-26.
The overall outcome of the Barnett formula is that devolved governments all receive at least 20% more funding per person than equivalent UK Government spending in the rest of the UK.
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