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Written question asked by James Murray (Labour) on Wednesday, 13 December 2023, in the House of Commons. It was due for an answer on Monday, 18 December 2023 (named day). It was answered by Nigel Huddleston (Conservative) on Monday, 18 December 2023 on behalf of the Treasury.

National Insurance Contributions: Staff

Question

To ask the Chancellor of the Exchequer, whether he has made an assessment of the capacity of employers to implement the changes to national insurance contributions coming into effect on 6 January 2024.

Answer

Following the Autumn Statement 2023 announcement of changes to National Insurance contributions (NICs), HMRC are working closely with software developers and employers to ensure they have a clear understanding of the changes and to ensure HMRC is doing everything necessary to facilitate delivery of those changes, including engaging regularly with the industry. Technical specifications were provided at pace following the announcement, and HMRC’s engagement with the industry to date has indicated that the majority of payroll software developers and employers will be able to make the changes on time. HMRC will continue to engage with the industry to monitor the progress being made to implement the changes, and any implications for the volume of customer refunds.

HMRC provided its assessment of the impacts of the changes on businesses via a Tax Information and Impact Note published alongside the National Insurance Contributions (Reduction in Rates) Bill. This is available on GOV.UK.

HMRC is confident that its own Basic PAYE Tools (for use by employers with 9 or less employees) will be updated in time, and the updated product is expected to be available to download via gov.uk by 6th January 2024.

Secondary information

Type
Written question
Reference
6931
Session
2023-24
Grouped for answer
Yes
Subjects
National insurance contributions
Link
View this Written question on www.parliament.uk