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The National (Scotland)
The National (Scotland)
National
James Walker

MSPs back motion condemning ‘catastrophic’ UK Government National Insurance hike

THE Scottish Parliament has voted to back a motion condemning the UK Government’s changes to employer National Insurance contributions.

National Insurance contributions for employers are set to rise to 15% from April, with the Scottish Government estimating that it will cost businesses £850 per employee on average.

It has been warned that the hike would hit the budgets of charities and public sector bodies.

Health Secretary Neil Gray said the consequences of the hike could be "catastrophic", describing it as the "greatest risk" to the public sector in 2025.

In a debate at Holyrood, MSPs debated a motion tabled by employment minister Tom Arthur which sounded alarm at the “adverse impacts” the policy could have on Scotland’s businesses, third sector, public services and wider economy.

The motion passed with 93 voting yes, 20 voting no and seven abstentions. Amendments from Scottish Labour and the Scottish Tories both failed.

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