National Insurance: Employer Contributions

Lord Scriven Excerpts
Thursday 9th January 2025

(3 months, 1 week ago)

Lords Chamber
Read Full debate Read Hansard Text Watch Debate Read Debate Ministerial Extracts
Baroness Taylor of Stevenage Portrait Baroness Taylor of Stevenage (Lab)
- View Speech - Hansard - - - Excerpts

I agree with the noble Lord that special needs transport has been a significant burden on local government in recent years, and with little help from the last Government. However, in the Budget, the Government announced £2 billion of new grant funding for local government in 2025-26. That includes the £515 million to which he referred to help with national insurance contributions. That £2 billion covers special educational needs home-to-school transport. I am not saying that will totally solve the problem. We have a spending review in the spring where I hope we will be able to look at that even further.

Lord Scriven Portrait Lord Scriven (LD)
- View Speech - Hansard - -

My Lords, the new burdens approach says that councils should be fully funded. The Minister keeps referring to the £515 million uplift, yet the Nuffield Trust has pointed out that the NICs increases will cost local authorities £900 million. Where is the extra £400 million coming from, and why has it not been handed over by the Government as part of the new burdens approach?