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774,000 Hospitality Workers Dragged Into New NICs Threshold


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New analysis from UKHospitality reveals that a fifth of hospitality’s workforce will be dragged into the new employer NICs threshold for the first time.


The regressive changes to employer National Insurance Contributions (NICS) will hit hospitality hardest, due to the high number of employees working part-time or flexibly.


Currently, more than 1.2 million hospitality staff are not eligible for employer NICs. In April, that number will be slashed to just over 450,000 people. That’s more than 774,000 workers that will be newly eligible for employer NICs. In total, this will cost the hospitality sector £1 billion.


Combined with £2.4 billion of other costs hitting in April, businesses are already taking hard decisions to cut investment, freeze recruitment, cut jobs, reduce hours or increase prices.

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  • lindaandrews071
  • Jan 24
  • 1 min read

ree

New analysis from UKHospitality reveals that a fifth of hospitality’s workforce will be dragged into the new employer NICs threshold for the first time.


The regressive changes to employer National Insurance Contributions (NICS) will hit hospitality hardest, due to the high number of employees working part-time or flexibly.


Currently, more than 1.2 million hospitality staff are not eligible for employer NICs. In April, that number will be slashed to just over 450,000 people. That’s more than 774,000 workers that will be newly eligible for employer NICs. In total, this will cost the hospitality sector £1 billion.


Combined with £2.4 billion of other costs hitting in April, businesses are already taking hard decisions to cut investment, freeze recruitment, cut jobs, reduce hours or increase prices.

Most Read

Tech Provider Enters 20th Anniversary Year With Strategic Acquisition

Tech Provider Enters 20th Anniversary Year With Strategic Acquisition

A Hampshire IT provider has acquired a ‘complementary’ firm in the East Midlands in a strategic move designed to boost nationwide growth plans. Ringwood-headquartered entrustIT has made Bedford’s DWM Technical Solutions its fifth wholly owned subsidiary.

Budget Does Nothing To Simplify Tax Rules, Leading Accountant Warns

Budget Does Nothing To Simplify Tax Rules, Leading Accountant Warns

Responding to the Autumn Budget, Steven Martin, Senior Tax Manager at HWB Chartered Accountants, said:

“I would have liked to see more simplification in the range of tax rates and allowances. Instead, there is more complication, with fine judgements needed about marginal rates when it comes to tax planning."

Act Now On Looming Shake-Up Of Tenants’ Rights

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A senior lawyer at a south coast legal firm has urged landlords and lettings agents to ‘get ahead of what is to come’ as the countdown begins to a major reform of the private rented sector.

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