Cornwall Council: Employers' Contributions
The question
To ask the Secretary of State for Housing, Communities and Local Government, what assessment her Department has made of the potential impact of the proposed increase in employer's National Insurance on public services provided by Cornwall Council.
Answered by Jim McMahon
We recognise the challenges that local authorities are facing as demand increases for critical services. That is why the government is providing an additional £2 billion of grant funding through the Settlement, which includes £502 million of additional grant funding to manage the impact of employer National Insurance Contributions (NICs) changes on council budgets.
Additional funding for employer NICs has been determined based on a national assessment of the costs for directly employed staff and the grant distribution methodology has been published in an explanatory note on the government website: https://www.gov.uk/government/publications/updated-explanatory-note-on-the-employer-national-insurance-contribution-grant-2025-to-2026.
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