Mancunians are benefitting from Employment Allowance which allows businesses to claim discounts of up to £2,000 on National Insurance, according to government figures.
The statistics reveal nearly 32,000 employers in Greater Manchester are benefitting, alongside almost 87,000 in the whole of the North West – and figures are expected to increase.
A recent survey by the Federation of Small Business (FSB) found that 18% have used the money saved to increase wages, 17% to hire new staff and 12% to provide additional training.
“This tax cut is part of our long term economic plan to back businesses investing in jobs, said Chancellor George Osborne.
“That is how you deliver greater economic security for hardworking people.”
Around 20% reinvested their money into equipment, machinery or premises, with 10% providing extra hours for staff.
John Allan, National Chairman of the FSB, said: “We’re really pleased to see so many businesses already taking advantage of the Employment allowance.
“We will work with government to raise the profile of the Employment Allowance, so all the firms eligible claim it.
“Our members have used the Allowance by paying workers more, hiring new people and increasing training. It’s also good to see a quarter of those that used the allowance to hire new staff took on an apprentice. “
The plan for the allowance was announced at Budget 2013, and businesses can confirm their eligibility through their regular payroll processes.
“Businesses across the country can claim a cut in their National Insurance bill,” said Chancellor Osborne, “and, if they haven’t already, then I urge them to do so.”
Image courtesy of J D Mack, with thanks.