Boost Your Business & Support Veterans: Unlock Employers’ NI Relief Today

With the impending rise in employment costs, including Employers’ National Insurance, it's more important than ever for businesses to explore funding options and cost-saving opportunities.

Did you know? If you employ an Armed Forces Veteran, you could be eligible for Employers’ National Insurance relief—reducing your employment costs while supporting those who have served.

Here are the facts:

The Employers’ National Insurance Contribution (NIC) Relief for Armed Forces Veterans is a UK government initiative designed to encourage businesses to hire veterans by reducing employment costs. Here are the key facts:

What is the relief?

• Employers do not have to pay National Insurance Contributions (NICs) for veterans in their first year of civilian employment after leaving the Armed Forces.

• The relief applies to earnings up to the upper secondary threshold (£967 per week for 2024/25). Any earnings above this threshold are subject to normal NIC rates.

Who qualifies?

• The veteran must have served at least one day in the UK Regular Armed Forces (Army, Royal Navy, Royal Air Force, or Royal Marines).

• Applies regardless of when they left service (i.e., even if they had a career break before taking up civilian employment).

Who can claim the relief?

• Any employer in the UK can claim, including businesses, charities, and public sector organisations.

• The relief applies per job, so if a veteran changes jobs within their first year of employment, the new employer can also claim the relief.

How long does it last?

• 12 months from the veteran’s start date in civilian employment.

• This period does not restart if they switch employers within their first year.

How to claim?

• Employers can claim the relief through Pay As You Earn (PAYE) using HMRC’s Real-Time Information (RTI) system.

• The NIC relief applies from 6 April 2021 onwards.