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Public Sector: Employers' Contributions

Asked by Sir James CleverlyConservativeMinistry of Housing, Communities and Local GovernmentTabled Answered 15 January 2026UIN 103775

The question

To ask the Secretary of State for Housing, Communities and Local Government, whether the figures on local authority, fire and police core spending power include or exclude the grant funding to compensate local public bodies for the increase in National Insurance contributions for employees.

Answered by Alison McGovern

As set out at the 2026/27 provisional local government finance settlement, the £502 million Employer National Insurance Contributions Grant from 2025/26 will be consolidated into the Revenue Support Grant. As outlined in the explanatory note on Mayoral Strategic Authority funding existing Strategic Authorities will receive the Mayoral Capacity Fund in 2026/27, which takes account of their allocation from Employer National Insurance Contributions Grant from 2025/26.

Police authorities received funding for the increase in employee National Insurance Contributions separately.

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