Autumn Statement 2015 - Employment law implications
The Autumn Budget saw George Osborne do a 360 on tax credits which would have seen many working families worse off. It also saw a number of other changes to promote employment in a still troubled market. One such announcement related to the introduction of the apprenticeship levy.
The aim of the levy is to have 3 million high quality apprenticeships by 2020. An apprenticeship levy will come into effect in April 2017 at a rate of 0.5% of an employer’s pay bill. A £15,000 allowance for employers will mean that the levy will only be paid on employers whose payroll exceeds £3 million per annum. The levy will be paid through PAYE but employers who do not pay the levy will be able to access government support for apprenticeships.
Other areas of interest from the Autumn Statement:
- The government proposes new measures on tax avoidance, evasion and imbalances including penalties for serial avoidance and action on disguised remuneration schemes, to be introduced in the Finance Bill 2016.
- The government announced a ‘real terms increase’ in funding to help those with disabilities and health conditions to return to and remain in work
- A new Work and Health programme replacing the Work Programme and Work Choice which will provide specialist support for the long-term unemployed and claimants with health conditions and disabilities.
Posted on 01/01/2016 by Ortolan
