Tories Pledge to Halve NI for Young Workers, Citing NEET Figures
What happened
The Tories announced a pledge to halve the employer National Insurance rate for workers aged 21 to 24 if they win the next election. The flat rate would be reduced from 15% to 7.5% for businesses. This announcement followed the release of Office for National Statistics figures showing that 981,000 young people aged 16 to 24 were not in education, employment, or training between April and June this year.
From aol.co.uk
Why it matters
The policy is estimated to have a static cost of £3.25 billion, which officials estimate could fall to a dynamic cost of £2.3 billion by 2029-30, factoring in tax receipts and lower Universal Credit spending. The party stated the measure aims to put tens of thousands of young people into jobs, shifting them from claiming out-of-work benefits to contributing taxes to the Exchequer.
From aol.co.uk
Who's involved
- ToriesBritish political party that made the policy pledge.
- Kemi BadenochLeader of the Tories who insisted the plan was fiscally credible.
- Office for National StatisticsGovernment institution whose figures were used to inform the policy announcement.
- Andrew GriffithPolitician who announced the new pledge for the party.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- British Chambers of CommerceSpeculative
Lower employer National Insurance costs might encourage British Chambers of Commerce members to increase hiring.
- Universal CreditSpeculative
The policy pledge might introduce new eligibility criteria for Universal Credit for young people.
Keep exploring
The entities involved
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Tories
British political party (1678–1834), precursor of the modern Conservative Party
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Kemi Badenoch
British politician and Leader of the Opposition to the British Government (2024–present) and Leader of the Conservative Party since 2024 (born 1980)
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Office for National Statistics
United Kingdom's principal government institution in charge of statistics and census data
Related events
- Andrew Griffith publicly supports Kemi Badenoch's stance on tax abolition.
- UK political parties are debating economic policy, with Kemi Badenoch proposing tax abolition and Tories facing challenges from Labour and Reform UK.
- Badenoch's leadership drives Tory poll gains, while Burnham suggests a snap general election and Farage faces scrutiny over a gift.
- Kemi Badenoch affirms faith in Thatcher's legacy while critiquing Starmer's government policies, amid leadership challenges.
- Esther McVey, MP for Cheshire, advocates for Kemi Badenoch as a potential future Prime Minister.