Welsh Government Announces Extra Funding to Close Higher National Insurance Costs Gap

Extra funding to support higher National Insurance costs gap

Welsh public services will get extra money to help meet higher National Insurance costs this year. The increase in employer National Insurance contributions means: A £257m extra cost to the Welsh public sector each year. The UK Government have provided £185m, leaving a shortfall of £72m. The Welsh Government is providing an extra £36m to help fund the gap. The total funding package is £220m, covering about 85% of increased costs for Welsh p…

Welsh Government announces extra funding to close higher National Insurance costs gap

First Minister Mark Drakeford © Welsh Government (Crown Copyright), all rights reserved Welsh public services will get extra money to help meet higher National Insurance costs, as a result of the increase in employer National Insurance Contributions (NICs) announced in the UK Government’s Autumn Budget last year. Chancellor Rachel Reeves raised the rate from 13.8% to 15%, from 6 April this year. The level at which employers start paying NICs (th…

Extra funding to help plug National Insurance shortfall in Wales

Welsh Government steps in to protect vital services WELSH public services are set to receive additional funding to help meet rising employer National Insurance (NI) costs—after a shortfall in support from the UK Government left a significant funding gap. The increase in employer NI contributions has added an estimated £257 million in annual costs to the Welsh public sector. Of that, the UK Government has committed £185 million, leaving a £72 mil…