To ask the Secretary of State for Wales, what assessment she has made of the potential impact of increases in employer National Insurance contributions on employment in Wales.
Answered on
3 June 2025
We have protected the smallest businesses and more than doubled the Employment Allowance to £10,500, meaning that over half of small and micro businesses will pay less or no national insurance contributions at all. Small and medium-sized enterprises account for 99.3% of total enterprises in Wales.
UK Government analysis shows that 865,000 UK businesses will pay no NI contributions at all as a result of these measures. In addition, more than half of employers with NI contribution liabilities will either see no change or an overall gain from 2025.