Queen’s Speech 2013: Changes to National Insurance contributions ahead

On 8 May 2013 the Queen’s Speech announced a new National Insurance Contributions Bill “to introduce a new Employment Allowance to support jobs and help small businesses.”

The Bill proposes to:

  • Reduce employer NICs from April 2013 by giving every business and charity a £2000 employment allowance (this was announced previously)
  • Strengthen legislation to prevent the use of offshore employment payroll intermediaries (which currently avoid employer NICs) and bring NICs into the general anti-abuse rules.
  • Remove the presumption of self-employment for limited liability partnership (LLP) members. This has been brought forward as was originally intended to change in 2014