National Insurance Contributions SMEs 2025-03-13

2025-03-13

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Questions & Answers

Q1 Partial Answer
Alistair Carmichael LD
Orkney and Shetland
Context
SMEs in Orkney and Shetland, particularly those in the visitor economy, are concerned about potential negative impacts from changes to employer national insurance contributions.
The impact I hear from SMEs in my constituency, predominantly in the visitor economy, is that they are anticipating cutting the hours of part-time staff or laying them off and reducing the number of seasonal employees that they will take on. Will the Minister take those concerns seriously and work with Ministers in the Scottish Government to ensure that the legitimate concerns of SMEs in my constituency do not blossom into a full blown crisis of confidence?
I am always happy to work with the Scottish Government and other devolved Governments on how we can improve the business environment. I am sure the right hon. Member will join me in encouraging the Government in Scotland to mirror the changes we have made to business rates relief. Given the sizeable increase in the Scottish budget, it is somewhat surprising that the SNP has not been willing to support the retail sector through an extension of retail hospitality relief.
Assessment & feedback
The minister did not directly address the concerns about national insurance contributions impacting SMEs and their staff.
Discussed Working With Scottish Government On Other Issues
Response accuracy