Question to the HM Treasury:

To ask the Chancellor of the Exchequer, what estimate he has made of the cost to businesses of administering the new Health and Social Care Levy.

The Health and Social Care Levy will levy a 1.25% tax on taxpayers liable to Class 1, Class 1A, Class 1B and Class 4 National Insurance contributions, via a temporary increase to NICs rates in 2022-23 and a separate Levy from 2023-24. Revenue raised will be ringfenced to support UK health and social care bodies.

The Government has published a Tax Information and Impact Note (TIIN) setting out that this measure will affect over 1.6 million employers required to introduce this change, including through one-off familiarisation costs. Further details can be found at: https://www.gov.uk/government/publications/health-and-social-care-levy/health-and-social-care-levy.