Local Government Finance

(asked on 13th November 2024) - View Source

Question to the Ministry of Housing, Communities and Local Government:

To ask the Secretary of State for Housing, Communities and Local Government, pursuant to the Answer of 8 November 2024 to Question 11851 on Employers' Contributions: Local Government, which grants are included in the £1.3 billion of new grant funding in 2025-26; and whether funding will be made available for changes to (a) retail, hospitality and leisure business rate relief in the 2025-26 financial year and (b) the increase in employers' National Insurance contributions.


Answered by
Jim McMahon Portrait
Jim McMahon
Minister of State (Housing, Communities and Local Government)
This question was answered on 21st November 2024

We have announced £1.3 billion of new grant funding in 2025/26 for local government to deliver core services, of which at least £600 million is for social care. Further details will be included in the upcoming Policy Statement and Local Government Finance Settlement.

In regard to whether funding will be made available for changes to:

(a) the increase in employers’ National Insurance contributions, English local authorities will be fully compensated for the loss of income and administration costs resulting from administering 40 per cent Retail, Hospitality and Leisure (RHL) relief and freezing the small business multiplier for 2025-26.

(b) the increase in employers’ National Insurance contributions, I refer the Hon Member to the answer to Question UIN 11851 on 8 November 2024.

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