George Osborne’s Budget for “an aspirational nation” has set out important changes for UK employers. The Chancellor today announced that, from April 2014, the first £2,000 will be taken off employers’ national insurance bills. It is intended to help all British firms, especially small ones looking to recruit.
“It’s a tax off jobs,” he said, “and it’s worth up to £2,000 to every business in the country – 450,000 small businesses will pay no jobs tax at all come April 2014, and this is available to charities and sports clubs.”
There was also a promise of support for employers that help staff return to work from long-term sick leave, with the Government introducing tax relief of up to £500 on amounts paid by employers on health-related interventions.
Ben Willmott, head of public policy at the Chartered Institute of Personnel and Development, welcomed the move: “Research shows that the longer people are off sick, the less likely they are to make a successful return to work; after six months’ absence from work, there is only a 50% chance of someone making a successful return….”