Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government how many payments of statutory (1) maternity, (2) paternity, and (3) adoption, pay were reclaimed from His Majesty's Revenue and Customs at (a) the standard rate of 92 per cent, and (b) the Small Employers' Relief rate of 108.5 per cent, in each of the last 10 tax years.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
Data for statutory payments for the financial year 2024-25 has not yet been fully analysed as the financial year has only recently ended. Data for financial years 2019-20 until 2023-24 is provided below. HMRC do not have data readily available for Statutory payments before 2019-20 and the relevant data could only be collated and verified for the purpose of answering this question at disproportionate cost.
The tables below show the number of PAYE schemes claiming each statutory payment by tax year. Note that the scheme count for reclaims does not reflect the total number of reclaims, as schemes may submit multiple claims within a single tax year.
Statutory Maternity Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 138,100 | 62,200 |
2020-21 | 132,900 | 62,800 |
2021-22 | 134,500 | 63,000 |
2022-23 | 132,500 | 61,000 |
2023-24 | 130,200 | 58,600 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
Statutory Paternity Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 55,100 | 13,800 |
2020-21 | 44,200 | 10,200 |
2021-22 | 53,600 | 14,600 |
2022-23 | 54,600 | 15,700 |
2023-24 | 56,200 | 15,000 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
Statutory Adoption Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 3,100 | 400 |
2020-21 | 2,800 | 300 |
2021-22 | 2,900 | 300 |
2022-23 | 2,800 | 400 |
2023-24 | 2,900 | 400 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
The data below summarises the total number of employers with Employer National Insurance Contributions (NICs) liabilities of £45,000 or less for the financial years 2022–23 to 2024–25. HMRC does not hold readily available data on the number of employers by the value of their total Employer NIC liabilities for years prior to 2022–23, and the relevant data could only be collated and verified for the purpose of answering this question at disproportionate cost.
| 2022-23 | 2023-24 | 2024-25 |
Number of Employers with Employer NIC liabilities of £45,000 or under | 1,551,000 | 1,580,000 | 1,621,000 |
Notes:
1) Figures rounded to nearest thousand.
2) Figures include employers whose Employer NIC liabilities = £0
3) Figures exclude employers whose Employer NIC liabilities are unknown.
4) Data is RTI data matched to Business Lookup Table data.
The Small Employer’s Relief is a flat rate for all qualifying employers whose Employer National Insurance Contributions (Employer NICs) were £45,000 or under in the previous tax year.
The rate is split into two parts; 100% of the payment of Statutory Pay, plus an additional amount to cover the Employer NIC liabilities arising from the Statutory Pay.
It is calculated based on the rules for Statutory Maternity Pay, which makes up the majority of the claims received. Statutory Maternity Pay level is equal to 90% of average weekly earnings for the first 6 weeks, and the lower of £187.18 and 90% of average weekly earnings for the subsequent 33 weeks. [N.B. Taken from here: https://www.gov.uk/maternity-pay-leave/pay]
Prior to April 2025, the Small Employer’s Relief rate was 103%. From April 2025, Employer NICs is charged at a rate of 15% on earnings salary over £96 a week (equivalent to £5,000 a year). The 8.5% therefore reflects the value of Employer NICs at the current rate as a percentage of Statutory Maternity Pay over the 39 weeks the employee is eligible for.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what estimate they have made of the number of businesses who have class 1 National Insurance contributions of £45,000 or less in each of the past 10 tax years.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
Data for statutory payments for the financial year 2024-25 has not yet been fully analysed as the financial year has only recently ended. Data for financial years 2019-20 until 2023-24 is provided below. HMRC do not have data readily available for Statutory payments before 2019-20 and the relevant data could only be collated and verified for the purpose of answering this question at disproportionate cost.
The tables below show the number of PAYE schemes claiming each statutory payment by tax year. Note that the scheme count for reclaims does not reflect the total number of reclaims, as schemes may submit multiple claims within a single tax year.
Statutory Maternity Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 138,100 | 62,200 |
2020-21 | 132,900 | 62,800 |
2021-22 | 134,500 | 63,000 |
2022-23 | 132,500 | 61,000 |
2023-24 | 130,200 | 58,600 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
Statutory Paternity Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 55,100 | 13,800 |
2020-21 | 44,200 | 10,200 |
2021-22 | 53,600 | 14,600 |
2022-23 | 54,600 | 15,700 |
2023-24 | 56,200 | 15,000 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
Statutory Adoption Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 3,100 | 400 |
2020-21 | 2,800 | 300 |
2021-22 | 2,900 | 300 |
2022-23 | 2,800 | 400 |
2023-24 | 2,900 | 400 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
The data below summarises the total number of employers with Employer National Insurance Contributions (NICs) liabilities of £45,000 or less for the financial years 2022–23 to 2024–25. HMRC does not hold readily available data on the number of employers by the value of their total Employer NIC liabilities for years prior to 2022–23, and the relevant data could only be collated and verified for the purpose of answering this question at disproportionate cost.
| 2022-23 | 2023-24 | 2024-25 |
Number of Employers with Employer NIC liabilities of £45,000 or under | 1,551,000 | 1,580,000 | 1,621,000 |
Notes:
1) Figures rounded to nearest thousand.
2) Figures include employers whose Employer NIC liabilities = £0
3) Figures exclude employers whose Employer NIC liabilities are unknown.
4) Data is RTI data matched to Business Lookup Table data.
The Small Employer’s Relief is a flat rate for all qualifying employers whose Employer National Insurance Contributions (Employer NICs) were £45,000 or under in the previous tax year.
The rate is split into two parts; 100% of the payment of Statutory Pay, plus an additional amount to cover the Employer NIC liabilities arising from the Statutory Pay.
It is calculated based on the rules for Statutory Maternity Pay, which makes up the majority of the claims received. Statutory Maternity Pay level is equal to 90% of average weekly earnings for the first 6 weeks, and the lower of £187.18 and 90% of average weekly earnings for the subsequent 33 weeks. [N.B. Taken from here: https://www.gov.uk/maternity-pay-leave/pay]
Prior to April 2025, the Small Employer’s Relief rate was 103%. From April 2025, Employer NICs is charged at a rate of 15% on earnings salary over £96 a week (equivalent to £5,000 a year). The 8.5% therefore reflects the value of Employer NICs at the current rate as a percentage of Statutory Maternity Pay over the 39 weeks the employee is eligible for.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government why the specific figure of 108.5 per cent was decided upon for the rate at which Small Employers' Relief is paid.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
Data for statutory payments for the financial year 2024-25 has not yet been fully analysed as the financial year has only recently ended. Data for financial years 2019-20 until 2023-24 is provided below. HMRC do not have data readily available for Statutory payments before 2019-20 and the relevant data could only be collated and verified for the purpose of answering this question at disproportionate cost.
The tables below show the number of PAYE schemes claiming each statutory payment by tax year. Note that the scheme count for reclaims does not reflect the total number of reclaims, as schemes may submit multiple claims within a single tax year.
Statutory Maternity Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 138,100 | 62,200 |
2020-21 | 132,900 | 62,800 |
2021-22 | 134,500 | 63,000 |
2022-23 | 132,500 | 61,000 |
2023-24 | 130,200 | 58,600 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
Statutory Paternity Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 55,100 | 13,800 |
2020-21 | 44,200 | 10,200 |
2021-22 | 53,600 | 14,600 |
2022-23 | 54,600 | 15,700 |
2023-24 | 56,200 | 15,000 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
Statutory Adoption Pay | ||
Date | Number of schemes | Number of schemes |
2019-20 | 3,100 | 400 |
2020-21 | 2,800 | 300 |
2021-22 | 2,900 | 300 |
2022-23 | 2,800 | 400 |
2023-24 | 2,900 | 400 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) PAYE scheme counts have been rounded to nearest 100.
3) The table shows the count of PAYE schemes with reclaims, using schemes as a proxy for business count.
The data below summarises the total number of employers with Employer National Insurance Contributions (NICs) liabilities of £45,000 or less for the financial years 2022–23 to 2024–25. HMRC does not hold readily available data on the number of employers by the value of their total Employer NIC liabilities for years prior to 2022–23, and the relevant data could only be collated and verified for the purpose of answering this question at disproportionate cost.
| 2022-23 | 2023-24 | 2024-25 |
Number of Employers with Employer NIC liabilities of £45,000 or under | 1,551,000 | 1,580,000 | 1,621,000 |
Notes:
1) Figures rounded to nearest thousand.
2) Figures include employers whose Employer NIC liabilities = £0
3) Figures exclude employers whose Employer NIC liabilities are unknown.
4) Data is RTI data matched to Business Lookup Table data.
The Small Employer’s Relief is a flat rate for all qualifying employers whose Employer National Insurance Contributions (Employer NICs) were £45,000 or under in the previous tax year.
The rate is split into two parts; 100% of the payment of Statutory Pay, plus an additional amount to cover the Employer NIC liabilities arising from the Statutory Pay.
It is calculated based on the rules for Statutory Maternity Pay, which makes up the majority of the claims received. Statutory Maternity Pay level is equal to 90% of average weekly earnings for the first 6 weeks, and the lower of £187.18 and 90% of average weekly earnings for the subsequent 33 weeks. [N.B. Taken from here: https://www.gov.uk/maternity-pay-leave/pay]
Prior to April 2025, the Small Employer’s Relief rate was 103%. From April 2025, Employer NICs is charged at a rate of 15% on earnings salary over £96 a week (equivalent to £5,000 a year). The 8.5% therefore reflects the value of Employer NICs at the current rate as a percentage of Statutory Maternity Pay over the 39 weeks the employee is eligible for.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government how many reclaims for statutory paternity pay there have been in each of the past five years, broken down by size of business.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
A breakdown of total reclaims for the financial years 2019–20 to 2023–24 is available below. However, data for 2024–25 has not yet been analysed as the tax year has only recently ended.
Further breakdowns of information by size of business are not currently available from published statistics, and collating and verifying the relevant data solely for the purpose of answering this question would incur disproportionate cost.
Date | Sum Recoveries | Count Recoveries |
19/20 | £50,300,000 | 55,100 |
20/21 | £43,800,000 | 44,200 |
21/22 | £52,400,000 | 53,600 |
22/23 | £52,600,000 | 54,600 |
23/24 | £61,500,000 | 56,200 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) Sum recoveries rounded to nearest £100,000.
3) Count of recoveries rounded to nearest 100.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government how much statutory paternity pay was reclaimed by businesses in each of the past five years, broken down by size of business.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
A breakdown of total reclaims for the financial years 2019–20 to 2023–24 is available below. However, data for 2024–25 has not yet been analysed as the tax year has only recently ended.
Further breakdowns of information by size of business are not currently available from published statistics, and collating and verifying the relevant data solely for the purpose of answering this question would incur disproportionate cost.
Date | Sum Recoveries | Count Recoveries |
19/20 | £50,300,000 | 55,100 |
20/21 | £43,800,000 | 44,200 |
21/22 | £52,400,000 | 53,600 |
22/23 | £52,600,000 | 54,600 |
23/24 | £61,500,000 | 56,200 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) Sum recoveries rounded to nearest £100,000.
3) Count of recoveries rounded to nearest 100.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what proportion of eligible businesses have reclaimed statutory paternity pay in each of the past five years.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
A breakdown of total reclaims for the financial years 2019–20 to 2023–24 is available below. However, data for 2024–25 has not yet been analysed as the tax year has only recently ended.
Further breakdowns of information by size of business are not currently available from published statistics, and collating and verifying the relevant data solely for the purpose of answering this question would incur disproportionate cost.
Date | Sum Recoveries | Count Recoveries |
19/20 | £50,300,000 | 55,100 |
20/21 | £43,800,000 | 44,200 |
21/22 | £52,400,000 | 53,600 |
22/23 | £52,600,000 | 54,600 |
23/24 | £61,500,000 | 56,200 |
Notes:
1) Data collected using HMRC Real Time Information (RTI) and extracted in December 2024. RTI is subject to revision or updates.
2) Sum recoveries rounded to nearest £100,000.
3) Count of recoveries rounded to nearest 100.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government, further to the Written Answer by Lord Livermore on 25 March (HL5735), in what way they plan to broaden the National Wealth Fund's legislative remit beyond infrastructure.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government will introduce legislation when Parliamentary time allows to broaden the National Wealth Fund’s (NWF) legislative mandate beyond infrastructure to enable it to better support the Government’s growth and clean energy missions.
At that point, and subject to Parliamentary consent, the NWF will focus on enabling investment in capital intensive projects, businesses, or assets. For example, the NWF will have the scope to invest in a broader range of supply chains and critical sectors, such as Artificial Intelligence and quantum, where access to finance gaps exist.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what plans they have to introduce legislation to change the remit of the National Wealth Fund.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government will introduce legislation as soon as parliamentary time allows to broaden the National Wealth Fund’s legislative remit beyond infrastructure.
The Government published the National Wealth Fund’s new Statement of Strategic Priorities on 19 March. It directs the National Wealth Fund to prioritise investment into the clean energy, advanced manufacturing, digital and technologies, and transport sectors. It can already invest in infrastructure projects in these areas.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government what plans they have to change the remit of the National Wealth Fund to include defence investment.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The Government published the National Wealth Fund’s new Statement of Strategic Priorities on 19 March. It directs the National Wealth Fund to consider the role it can play in delivery of the wider Industrial Strategy, including in the defence sector.
The National Wealth Fund will also consider investments in dual-use technologies across its priority sectors of clean energy, digital and technologies, advanced manufacturing and transport, to better support the UK’s defence and security.
The National Wealth Fund retains the flexibility to invest where financing gaps emerge to ensure it can respond swiftly to emerging Government priorities.
Asked by: Baroness Penn (Conservative - Life peer)
Question to the HM Treasury:
To ask His Majesty's Government whether spending by the National Wealth Fund will be subject to their fiscal rules; and, if so, which of the fiscal rules will apply.
Answered by Lord Livermore - Financial Secretary (HM Treasury)
The UK’s fiscal framework (as set out at the October 2024 Budget) applies to the whole public sector, including the National Wealth Fund (NWF). The NWF is operationally independent, but wholly owned by the Treasury, and therefore part of the public sector and subject to the fiscal framework.
Specifically, the fiscal framework contains two fiscal rules:
i) the stability rule – to move the current budget into balance so that day to-day costs are met by revenues, meaning that the government will only borrow for investment. The NWF’s current expenditure, for example the salaries of NWF staff, and current income, for example the income it receives for loans, are included in this metric.
ii) the investment rule – to reduce debt, defined as public sector net financial liabilities or net financial debt, as a share of the economy. Net financial debt is a broad measure that includes the value of financial assets owned by the government and nets these assets off the liabilities of government captured in net financial debt. NWF’s financial assets, for example it’s loans and equity investments, are included as financial assets under this metric.