Employer National Insurance Contributions: Police Forces

Aphra Brandreth Excerpts

Tuesday 11th February 2025 Westminster Hall

[Esther McVey]

I will not just yet. Please allow me to make the case, and then I will come back to the hon. Gentleman. We know about the removal of the winter fuel payment from nearly 10 million pensioners, we know about the family farm tax and we know about the VAT on private schools. All have received much attention in this House, but we must not overlook the breadth of the ramifications of the autumn Budget, particularly the changes to employer national insurance contributions. They will have a devastating impact on individual employers and businesses, but their impact on our treasured public services has been widely overlooked. I want to focus my comments on the impact on our police forces.

You will be wondering, Dr Allin-Khan, how the Member for Tatton knows what is going to happen here. Did the Treasury conduct an impact assessment? Did the Chancellor generously share the assessment with Members from across the House? Were police forces consulted on such changes? The answer to all those questions is no, as is often the case with the Government’s policy announcements.

Late last year, I submitted freedom of information requests to every police force in the UK, asking for the expected additional costs that each will incur as a result of the Chancellor’s hike in employer national insurance contributions. I was shocked, yet unsurprised, to learn of the devastating impact that the policy will have on our police forces. In my county of Cheshire, the local constabulary will face an additional £3.7 million per year in employer national insurance costs.

[Aphra Brandreth (Chester South and Eddisbury) (Con)]

I thank my right hon. Friend for giving way and for securing this debate. She is making an excellent speech, as always. She and I are both Cheshire MPs, and we are fortunate to work with the Cheshire constabulary, one of the best forces in the country. Like me, however, she will know the challenges that Cheshire police face with rural crime. It is estimated that the changes to employer national insurance contributions will cost the force £3.7 million. Does she share my concern that that could have a significant impact on rural crime, in particular, especially if cuts are made or funding is diverted away from rural into urban areas?

[Esther McVey]

My hon. Friend and neighbouring MP makes a valid point; £3.7 million is the equivalent of about 67 police officers. That is a recurring expense, not a one-off. In places such as Devon and Cornwall, the police will face a £6.3 million tax bill each year. Greater Manchester will be hit with a whopping extra tax bill of £11.9 million each year. Those are just a few examples, and the list goes on.