Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment she has made of the potential impact of the increase in employer National Insurance contributions on young people seeking employment.
A Tax Information and Impact Note (TIIN) was published alongside the introduction of the Bill containing the changes to employer NICs. The TIIN sets out the impact of the policy on the exchequer, the economic impacts of the policy, and the impacts on individuals, businesses, and civil society organisations, as well as an overview of the equality impacts.
The Government is firmly committed to supporting women to enter, stay and progress in work, tackling gender pay gaps and ensuring women can reach their full potential in the labour market. To help make work pay for mothers in particular, we are improving access to affordable childcare through the Tax-Free Childcare scheme and 30 hours of funded childcare a week.
The Government is committed to supporting young people to earn and learn. That is why we are delivering a Youth Guarantee, backed by £820m over the Spending Review period. This includes providing guaranteed paid work placements to young people on Universal Credit, who are unemployed for over 18 months, granting an opportunity for young people to gain essential skills and experience and prevent the damaging effects of long-term unemployment. The Youth Guarantee will also create nearly 300,000 additional work experience and training opportunities, further expand Youth Hubs to every local area of Great Britain, and increase investment to prevent young people from falling out of education, employment or training in future.