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1 year off National Insurance Contributions for employers taking on disadvantaged groups

We will also work to help those groups who have in the past found it difficult to get employment, by incentivising employers to take them on. So for businesses employing former wards of the care system, someone with a disability, those with chronic mental health problems, those who have committed a crime but who have repaid their debt to society, and those who have been unemployed for over a year, we will offer a holiday on their employers’ National Insurance Contributions for a full year.

Our Verdict

In April 2016, employers’ National Insurance Contributions (NICs) were abolished for employers of apprentices under the age of 25. In their 2017 manifesto, the government proposed a similar measure, offering a year off paying NICs for companies employing people who typically find it hard to get into employment (such as people who have been unemployed for over a year, or have a criminal record).

Currently there is no evidence of any plans to fulfil this promise. In May 2018 the government published new guidance on employing prisoners and ex-offenders, but no mention was made of an ‘NIC holiday’ for employers.

We’ll keep monitoring the progress of this policy, but for now it’s ‘not started’. Follow this policy for updates.

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