What a contrast to the Spring 2024 Budget.
The headliner for the 2024 budget was the 2p cut in National Insurance Contributions – contrast that to the 2025 Spring Budget National Insurance hike for Employers.
The rate of Class 1A Employer NICs will increase to 15%, in addition the threshold will reduce to £5000.
This combined with the increase in National Living Wage is bound to have a major impact on employers and ultimately on the number of employees in the work place.
The National Living wage from April 2025 is:
- National Living Wage (21 and over): £12.21 per hour
- National Minimum Wage (18-20): £10.00 per hour
- National Minimum Wage (16-17): £7.55 per hour
- Apprentice Rate: £7.55 per hour
Employers looking to reduce costs should talk to us about Salary Sacrifice Pension Contributions.
