In a statement today, Alex Veitch, Director of Policy at the British Chambers of Commerce, said:

“The Chancellor is facing a tight fiscal position and will have to make difficult decisions in the forthcoming Budget. But raising Employer National Insurance Contributions (Employer NICs) would place an additional strain on businesses.  

“Firms are run by working people, nearly all UK companies are small, with many family-owned, and they are the anchors in our local economies.  

“Raising employer NICs, in an already stretched economy, will simply hobble growth and lead to businesses having less money to invest in their staff.

“Our research shows that taxation is the top concern for business. Any taxes rises must be countered by steps to incentivise investment that smaller firms can access with minimal red tape. This could include a workable R&D Tax Credit scheme and retaining the current level of the Annual Investment Allowance.”