The NI changes are going to cost my organisation £1000 per employee

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The NI changes are going to cost my organisation on average £1000 per employee, The lowering of the threshold alone is going to cost around £600 extra per employee.

We are heavily regulated with fixed income. We're a not for profit. Our customers expectations are increasing. We are now most likely going to have to somehow reduce our headcount now, and payrises for April are going to be off the table.

Just shaking my head really. Our employees don't deserve this. Hard to see how this isn't a tax on jobs.

The lowering of the threshold also means employers have to pay for more workers, because part time salaries are now dragged into it.

A lot of people reading this won't care. All I can say is this NI increase will also affect you. just think about Local authorities, childcare providers and other services. Do you think it won't affect your Councils services/tax bills, to give one example?

(I'm not a Tory bot btw, before anyone starts accusing me of being one. I voted Remain, don't support the Tories at all, can't stand Boris and his cronies.)

I'm sure the food banks will run out of those pretty quickly with all the new unemployed people on their books.

It's self licking lolly pop. Make it harder to employ people, which increases the number of unemployed, which increases the benefits bill, which leads to more tax being imposed on employers to pay the benefits bill, and round and round we go.

We are all paying more tax as a % of income each year due to tax threshold freeze ... perhaps we won't now as employers will bless likely to give pay awards

So if the rise is 1.8% £1k per employee is an average pay of £180k per employee? If were talking averages?

Did you not read the information about the reduced thresholds? It's not just a percentage increase. More is being paid due to threshold lowering.

I spent 17yrs working in the charity sector, restructuring and job losses just seemed to be ongoing for the whole time I was there due to things like less money incoming, new governments and new budgets (ie drop in humanitarian aid for the charity I was working for), the press and whatever else came our way. TBH I'm amazed that I survived 17yrs and would never go back due to the uncertainty. I'm now in the private sector, although we do have restructures staff are treated more fairly and its very different.

They often do it because they can’t do performance management. So they take the expensive way out.

It’s horrendous for small businesses. Hairdressing salons, nurseries, care homes, businesses that barely balance the books at the moment. No more wage increases will be possible. Apprentices won’t be kept on after they qualify. I would imagine employers will be asking their staff to go self employed wherever possible. Interest rates won’t drop now.

Don't think there's any easy place for the money to come from. Working for a charity you will be seeing first hand the impacts of failing public services on the people you work with. These are catastrophic. NHS is at breaking point and it is our ultimate safety net. Totally think we need tax rises.

Would think the main concerns for the charity sector - when thinking about the impact on people rather than on organisations are:
-Somehow they are planning on cutting 4.3bn from the benefits bill - WTAF!
-Where was scrapping the two child benefit cap
-Hardly any money for social care.
-Hardly any money for tackling homelessness

Do you mean performance management as in disciplines? If so I don't think so. If anything you were expected to work harder for less money and yes people were disciplined that lead to being fired from there job.

You have my sympathy, OP. Those people saying "must tax the rich bosses" have absolutely no idea how business works. This vicious, nasty budget is going to affect small businesses, charities, arts organisations etc etc - and therefore all of us. It's unbelievably bad.

Your situation sounds unusual, in that you have fixed income and are not for profit. Is there anything you can do to raise money in a different way?

A care home? If so, I doubt fundraising will cut it. We read of a care home yesterday, run by a charity, whose costs have risen by £1 million pa, thanks to the budget increases in employers’ NI and the NMW. I doubt very much the Local Authorities and Integrated Care Boards will agree to increases in the fees, to cover these extra costs. (There’s no self funders, as the residents are working age adults with learning disabilities) The people who will suffer are the vulnerable residents, who already have practically nothing, as cuts will be made to the care and services they get. We know of another similar care home, which we believe will be forced to close, as their financial situation was worse to start with.

I am all in favour of increasing the NMW; but don’t believe that people who have even less, should be the ones to pay for it!

Absolutely this. Any extra money given to the NHS is just a complete waste - it's like setting fire to £10 notes.

A couple of pence on income tax? Compared to what we paid years ago, 20p in the £ is low. I remember being on an ordinary wage and paying 35p, top rate was 83p! Those were reduced by the Thatcher government to 30p and 60p. Still well in excess of today’s rates. I’m no fiscal expert, but that would seem straightforward and relatively fair.

Yes people being poor at the job and being made redundant rather than performance managed. endemic in many parts of the NFP sector

It is going to cause some pain, I'm sure, but not to Local Authorities (as you OP states) or the NHS/schools, as public sector employers will get a rebate.

This impact is no doubt a problem, but in a budget where tough decisions had to be made, if this is the worst of it, it's a lot better than it could have been.

Plus why do people keeps saying it's against the manifesto. Can anyone tell me a single element of the burger which isn't in line with what they said they'd do?

Also, having worked for charities, I'd say they can look at their other expenses and waste, so I can't feel too sorry for them.

It's pretty simple, the government is so bloated it is now consuming the productive economy and then borrowing more to cover the shortfall.

Govt revenue as percentage of GDP: 38%
Govt spending as a percentage of GDP: 45%

As they borrow more interest rates will increase and the cost to service the debt will consume ever more of the budget.

The debt and tax spiral is only going to get worse.

That’s the pre GE spin for you, Labour had it pretty easy as many were happy to vote for them no matter what. Any question on where will the money come from was attacked, but that was madness. The scrutiny wasn’t there.

The manifesto also doesn’t reflect the budget with the huge tax hikes or the borrowing

We’re now paying more for that debt due to market reaction which will likely mean higher taxes again

The NHS is unaffected as public sector employers get a rebate.

The manifesto did reflect exactly this. They were always clear there would be tax increases.

Frankly I think a lot of charities could do with serious overhaul. SIL works for Breast Cancer now, in what seems like a complete non job, but earning £50k a year. This is why I don’t donate to big name charities anymore.

This. Anyone suggesting a Labour gov with this approach would bring this about got the usual mn stuff.

By how much exactly?

The highest since 1993 or?

No, because the whole public sector has been specifically excluded from the increase.

My little business supplies the NHS, and the waste I have seen is mind boggling, and very, very sad, because its our money being mis used - and the legions of office based management types in obscure roles...

I met a middle manager once, who admitted she didn't actually know how what she did fitted in to the system and wasn't sure it added anything.

I would argue the NHS is probably already massively over funded and incredibly badly run, without any change handing them money will not improve anything, the money will just vanish.

Exactly, they are exempt.