Question to the Department of Health and Social Care:

To ask the Secretary of State for Health and Social Care, whether his Department will reimburse hospices in England for the increase in employer National Insurance contributions introduced in April 2025.

The Department has no plans to reimburse hospices in England for the increase in employer National Insurance contributions (ENICs) introduced in April 2025. The planning guidance, published on 30 January 2025, sets out the funding available to integrated care boards (ICBs) and the overall approach to funding providers in this financial year. The planning guidance is available at the following link:

https://www.england.nhs.uk/publication/2025-26-priorities-and-operational-planning-guidance/

It takes into account a variety of pay and non-pay factors and pressures on providers of secondary healthcare, including charitable hospices.

Our approach to ENICs exemptions has been consistent with the approach taken by previous administrations. This does not include an exemption for independent contractors, including charities like hospices.

We recognise the financial pressures facing hospices, including those arising from increases in employment costs. That is why the Government has supported the hospice sector with a £125 million capital funding boost for adult and children and young people’s hospices in England, and is providing approximately £80 million in revenue funding for children and young people’s hospices over the three financial years 2026/27 to 2028/29.