National Insurance Contributions: Disability

(asked on 11th December 2024) - View Source

Question to the HM Treasury:

To ask His Majesty's Government what representations they have received from Mencap and other organisations which support disabled people concerning the impact of the increase in national insurance payments on their ability to maintain the services they offer.


Answered by
Lord Livermore Portrait
Lord Livermore
Financial Secretary (HM Treasury)
This question was answered on 18th December 2024
In order to repair the public finances and raise the revenue required to support public services, the Government has taken the difficult decision to increase employer National Insurance contributions (NICs).

The Government has protected the smallest businesses and charities from the impact of the increase by increasing the Employment Allowance from £5,000 to £10,500. This means that 865,000 employers will pay no NICs at all next year, and that more than half of employers will see no change or will gain overall from this package. More broadly, within the tax system, the Government provides support to charities through a range of reliefs and exemptions. This includes reliefs for charitable giving, with more than £6 billion in charitable reliefs provided to charities, community amateur sports clubs (CASCs) and their donors in 2023 to 2024. The Government has published a Tax Information and Impact Note outlining the impact of these changes, and has engaged with a variety of bodies across the charitable sector.
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