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Motion · S6M-17329 · 24 Apr 2025

The Impact of Increased Employers' National Insurance Contribution

Lodged by Kevin Stewart Standard Motion 18 supporters

The motion

That the Parliament notes the findings of the Fraser of Allander institute’s latest Scottish Business Monitor, which reports that businesses in Scotland are increasing charges and hiring fewer staff in response to the financial pressure generated by the increase in employers’ national insurance contribution; understands that almost 90% of the companies surveyed by the institute in March 2025 said that they expected higher costs for the next six months, with 80% anticipating “very weak to weak” economic growth; further understands that almost half of the businesses in the survey reported that they had passed increased costs onto customers in the form of higher prices; considers that these results are a clear demonstration that the UK Labour administration's increase in employers’ national insurance contributions is having a detrimental effect on businesses in Scotland; condemns the UK Labour administration for pursuing this policy without, it believes, any regard for the already difficult circumstances businesses are operating in at the moment, and calls on the Chancellor of the Exchequer to start working with businesses instead of against them.

Supporters (18)

Source: the Scottish Parliament motions and amendments record.