UK SMEs warn of business strain as NI hike bites: poll

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Blue Yonder: 2024 Business Review

UK SMEs warn of business strain as NI hike bites: poll

^{Published on 2025-03-05 19:20:52 - MSN}

More than four in ten small and medium-sized enterprises (SMEs) in the UK say the government's increase in National Insurance Contributions (NIC) for employers will negatively impact their business, according to new research from specialist lender Shawbrook.

The article from MSN discusses the impact of the National Insurance (NI) hike on UK Small and Medium-sized Enterprises (SMEs). According to a survey by the Federation of Small Businesses (FSB), the increase in NI contributions, which came into effect in April, is putting additional financial strain on SMEs. The poll revealed that many small business owners are concerned about their ability to manage increased costs, with some contemplating reducing staff hours or even layoffs to cope with the financial pressure. The FSB has called for government intervention to support SMEs, highlighting that the NI increase, combined with other rising costs like energy and materials, could stifle business growth and economic recovery. The article also notes that while the government aims to fund health and social care through this hike, the immediate effect on SMEs might be detrimental to their operations and the broader economic landscape.

Read the Full MSN Article at:
[ https://www.msn.com/en-us/money/economy/uk-smes-warn-of-business-strain-as-ni-hike-bites-poll/ar-AA1AkHDl ]

Contributing Sources

MSN

N@N

UK SMEs warn of business strain as NI hike bites: poll