Question to the Northern Ireland Office:

To ask His Majesty's Government what assessment they made of the impact on jobs and profitability in the Northern Ireland hospitality sector of the announcements in the Budget of (1) the increase in the rate of employer national insurance contributions, and (2) the rise in the national minimum wage.

Northern Ireland has a thriving hospitality sector, and this Government is committed to working with the NI Executive to support sustainable economic growth. The settlement for Northern Ireland in the Budget is the biggest real terms settlement since devolution.

To repair the £22bn black hole inherited by the Government and help raise the revenue required to increase funding for public services, the Government has taken the difficult decision to increase employer National Insurance. We recognise the need to protect the smallest employers which is why we have more than doubled the Employment Allowance to £10,500, meaning more than half of businesses with NICs liabilities either gain or see no change next year.

The Government is adopting recommendations of the Low Pay Commission to increase the National Living Wage by 6.7% to £12.21 an hour, and increasing the National Minimum Wage for 18-20 year olds by 16.3%. There are estimated to be almost 100,000 minimum wage workers in Northern Ireland in 2023.