Minister urges businesses not to miss out on National Insurance holiday

Treasury Minister, David Gauke is reminding new businesses not to miss out on money they could be entitled to through the Regional Employer National Insurance contributions (NICs) holiday for new businesses.

There are currently 1,094 businesses in the region that have taken advantage of the scheme, saving an average of just over £2,000 each last year, but there are likely to be many more eligible.

The NICs holiday scheme is designed to encourage the creation of private sector jobs in regions reliant on public sector employment by reducing the cost to new business of employing staff. The holiday is available to businesses set up since 22 June 2010 and is worth up to £5,000 for up to the first ten employees hired in the first year of business.

This means a maximum saving on national insurance payments of up to £50,000. Eligible new businesses can apply for a refund of NICs that they have already paid.

The scheme ends on 5 September 2013.