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Regional employer NICs holiday scheme comes into effect
The National Insurance Contributions ‘holiday’ scheme unveiled in the June Emergency Budget has come into effect.
Up to 400,000 new businesses established outside of London, the South East and East of England are eligible for a "holiday" in paying staff National Insurance Contributions (NICs).
Firms can save up to £5,000 for up to the first ten employees hired in their first year of operation.
The scheme is to run for three years. The Government estimates that 400,000 new businesses could benefit - potentially cutting their national insurance payments by up to £50,000 each.
"We need to rebalance our economy which has become over-reliant on public spending and jobs provided by the public sector," said Exchequer Secretary to the Treasury David Gauke.
"The NICs holiday for new businesses, in addition to cuts in corporation tax, will provide a valuable boost to start-up businesses and help foster the private sector-led recovery that will drive growth in the UK over the coming years."
More details of the scheme, including a postcode checker, are here.