The recent hike in National Insurance contributions payable to employees creates a headache for local authorities reports Finance & General Purposes Chair John O’Brien
The recent budget announced by the new Labour Government has exposed what happens when the full consequences of those policies have not been taken into account. The increase in the minimum wage and National Insurance has put jobs at risk as companies look to cut overheads.
The failure of the government to exempt Local Authorities from the NI increase has only intensified the problems of financing local services which are bound to suffer just at a time when help is needed the most.
This meeting is essential for us to find an acceptable way forward in budgeting for the new Fiscal year, so let’s get on.