Conservatives pledge to halve tax on hiring young people

Summarised from 2 outlets · Updated 14 Oct, 06:32 · Archive

The Conservatives plan to cut employers' National Insurance contributions from 15 per cent to 7.5 per cent for workers aged 21 to 24.

The Conservatives have pledged to cut employers' National Insurance contributions from 15 per cent to 7.5 per cent for workers aged between 21 and 24, in a move aimed at tackling youth unemployment. The party says the cut would save firms an average of £1,545 per worker and create tens of thousands of jobs by the end of the decade.

Almost one million young people in the UK are currently not in employment, education or training, known as NEETs, with around 1.2 million claiming Universal Credit. Businesses across the East have seen employment costs rise sharply since the government raised employers' National Insurance contributions from 13.8 per cent to 15 per cent in the 2024 autumn budget, with some regional firms facing hundreds of thousands of pounds in additional annual costs.

The Conservatives say the policy to halve tax on young workers would cost £2.3 billion a year. The party proposes to fund this alongside inheritance tax cuts through more than £30 billion in welfare cuts.

How it is being reported

• Why halving tax on hiring youngsters could help East's firms end unemployment crisisBusinesses in the East could benefit from the Conservatives’ plans to halve tax on hiring young people - but there's a catch.Eastern Daily Press · 14 Oct, 06:00
• Why halving tax on hiring youngsters could help East's firms end unemployment crisisBusinesses in the East could benefit from the Conservatives’ plans to halve tax on hiring young people - but there's a catch.Norwich Evening News · 14 Oct, 06:00

In this story: Kemi Badenoch · Rachel Reeves · Conservative Party · Labour · Norfolk · Suffolk · UK

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