Employer National Insurance Contributions 2025-01-08
2025-01-08
TAGS
Response quality
Questions & Answers
Q1
Partial Answer
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Context
Universities face additional annual costs due to the rise in employer national insurance, threatening their ability to fund cutting-edge research, recruit top talent, and support early career researchers. This situation was brought up by Rebecca Paul.
What assessment has been made of the potential impact of increases in employer national insurance contributions on the science and technology sectors? Universities face an additional £372 million in annual costs due to the rise in employer national insurance, threatening their ability to fund cutting-edge research, recruit top talent, and support early career researchers. Does he recognise the detrimental impact that will have on research in this country? Will he explore measures to ensure that our global competitiveness in science and innovation is not undermined?
We have put universities on a solid financial footing with new investment. This Government is finding ways to take that great start forward and get new investment into universities. The war on universities by the previous Administration has ended.
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Assessment & feedback
Explained government's support for universities but did not address specific measures or recognising detrimental impacts of NI increases
Response accuracy
Q2
Partial Answer
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Context
A British tech unicorn, Thought Machine, faces challenges due to increased costs from employer national insurance. The founder, Paul Taylor, expressed concerns about less incentive for company growth. Alan Mak cited this situation.
Why did the Secretary of State allow the Chancellor to make growth harder for Britain’s tech sector at the Budget? Companies like Thought Machine will be less incentivised to grow as a result of the increased employer national insurance contributions, leading to missed opportunities for new jobs and investment. Why didn’t the Secretary of State stand up to her?
We have put the public finances on a solid footing. Our economy is now stable in a way that has not been the case for 14 years. The Conservatives want all the benefits without saying how they will pay for them. Until they do, they will not be taken seriously by anyone, including companies like Thought Machine.
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Assessment & feedback
Shifted focus to criticising opposition's economic stance rather than addressing the specific issue raised about tech sector growth
Criticised Opposition
Response accuracy