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Budget 2021 – Employment Takeaways

Published: 17 March 2021
Time to read: 2 mins

We have outlined below some key employment takeaways from the recent Budget update:

  • Tax exemptions for workplace coronavirus tests and home office equipment have been extended to the 2021/22 year. Employers can disregard the costs of coronavirus tests and home office equipment they provide to or reimburse employees for when calculating earnings for NIC purposes.
  • Small and medium sized businesses throughout the UK can continue to reclaim up to two weeks’ eligible Statutory Sick Pay (SSP) per employee. The SSP Rebate Scheme is only intended to last as long as Covid-19 support measures remain in place.
  • The Chancellor announced further support for jobs by way of traineeship and apprenticeship support including payments for employers who hire new apprentices and investment in new technologies to help people find jobs.
  • NIC primary thresholds for 2021/22 will rise in accordance with the Consumer Prices Index.
  • The Chancellor has requested recommendations from the Low Pay Commission for 2021 as part of the government’s aim to reach a National Living Wage of two thirds of median earnings by 2024, for those aged 21 and over.
  • The Self-Employment Income Support Scheme grants for February to April 2021 and May to September 2021 were also announced. Information about the fourth and fifth grants can be found here.

If you would like any further information on the Budget, please do not hesitate to get in touch.

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Lawyers in Edinburgh
Solicitors in Edinburgh
Family Solicitors/Lawyers in Edinburgh

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