National Insurance Contributions (Employer Pensions Contributions) Bill

Lord de Clifford Excerpts

Wednesday 25th March 2026 Lords Chamber

[Baroness Stedman-Scott (Con)]

My Lords, I was speaking to a young man just yesterday who has done everything he has been encouraged to do. He has studied well and he has worked and saved in order to put a deposit down on a house. He has been helped by people who have been fortunate enough to make some money to be able to help him. He had just moved into his first flat in London, and he could not be happier. Yesterday, he was called into his boss to be told there would be a period of consultation because of the Government’s introduction of various taxes and penalties on employers trying to employ people. He is now in a very difficult and despondent position.

We talk about impact assessments for pension contributions. Has the Minister any idea of the impact on people’s lives when they have done everything right and now find themselves in the most vulnerable position? This may not be completely focused on the amendments that have been laid today, but the principle is the same. The Government are creating anxiety. The whole thing is making people wonder what the point of trying to better their lives is. I ask the Minister to think again. If we want a country that is robust, where people feel that everything is to gain, this is not the way to go about it.

[Lord de Clifford (CB)]

I will be extremely brief. I support all these amendments in the name of the noble Baroness, Lady Neville-Rolfe. My main concern is that some basic rate taxpayers will be disincentivised from making pension contributions because of that extra 8% that they are going to pay. That will take away the real advantage that we have seen in auto-enrolment and they will opt out of those schemes because they need to fund their houses. The Government should please look at it again.

[Lord Fuller (Con)]

My Lords, once again, taken together, this is a further insult to working people. As we have heard this evening, it is about not the fat cats but the youngsters and the poorer paid who are starting off and trying to do the right thing, making their way in the world. There is already intergenerational unfairness, and this Bill amplifies it and makes it worse. The Government have a tin ear. When they say they are trying to look after the youngsters, they are speaking with a forked tongue. Youngsters just want a break, but this Government are beating them with a stick. We have got to stop it.