Employers' Contributions: Public Sector

(asked on 7th February 2025) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, if she will list all Barnett consequentials that her Department plans to allocate to the Northern Ireland Executive that include additional funding to reflect the public sector cost of increased Employer NIC contributions.


Answered by
Darren Jones Portrait
Darren Jones
Chief Secretary to the Treasury
This question was answered on 12th February 2025

At Autumn Budget 2024, the Chancellor agreed to provide funding to the public sector to support them with the additional cost associated with changes to employer National Insurance Contributions policy.

The Northern Ireland Executive will receive funding through the Barnett formula for any changes to UK Government department budgets, including on this support, in the usual way at Main Estimates 2025-26. This is the normal operation of the funding arrangements as set out in the Statement of Funding Policy.

This funding will be in addition to the Northern Ireland Executive’s record Spending Review settlements for 2025-26, which are the largest in real terms of any settlements since devolution. The Northern Ireland Executive are funded above their independently assessed level of relative need in 2024-25 and 2025-26 when including funding from the 2024 restoration financial package.

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