National Insurance on employer pension contributions could raise billions for Treasury coffers

"Implementing national insurance on employer pension contributions could potentially raise net revenues for the Treasury of around £16 billion annually, making it an attractive fiscal measure."

"Sir Steve Webb notes that while introducing this tax could generate significant funds, it might also provoke backlash from employers amidst ongoing cost pressures from rising wages and interest rates."

"The political viability of this proposal lies in its ability to raise revenue without directly impacting employees' take-home pay, unlike more controversial alternatives."

"Current pension tax relief disproportionately benefits higher earners, and think tanks advocate for reform to create a more equitable system, which aligns with the potential national insurance changes."

Read at Business Matters