Business Bites - What rise In NI contributions means for local charities

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As we approach April and the start of a new financial year, it isn’t just businesses that are having to find ways to meet the rise in employer national insurance contributions that will be coming in. Sally Tabner, CEO of Chichester based charity Sage House, Dementia Support has said she is “frustrated [because] Health & Social Care Charities are being left behind in NICs Exemptions.”

While Peers voted in an amendment last week to exempt small charities from the National Insurance rise, successful and ambitious charities like Sage House will still be penalised. “Even if this amendment is accepted, health and social care charities like ours - those 'propping up' the system - will still be left to shoulder the cost simply because our turnover exceeds £1 million.” Turnover, rather than impact, appears to be where the government draws its line in the sand.

This is especially challenging as Dementia Support fills the gaps left by statutory services, reducing pressure on the NHS and local authorities. As well as providing critical support to local families and those living with dementia, the charity must now find the funds to meet the increased tax bill in exactly the same way as a profit-making business. I imagine that like a business, if those funds can’t be generated then costs will have to be reduced, whether through staffing or services.

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If you feel strongly about this there are ways you can help. As public servants paid by our taxes MPs have a duty to listen to their constituents. So write to your local MP and ask them to lobby for an exemption for all charities doing the vital work that the NHS and local authorities just do not have the resources to deliver. If you don’t know how to contact your MP then They Work For You is a helpful website to get you started:https://www.theyworkforyou.com/.

Lucia Barbato, CEO Ilex Content Strategies, Business Ambassador Sage House & Trustee Oxmarket ContemporaryLucia Barbato, CEO Ilex Content Strategies, Business Ambassador Sage House & Trustee Oxmarket Contemporary
Lucia Barbato, CEO Ilex Content Strategies, Business Ambassador Sage House & Trustee Oxmarket Contemporary

As things stand Sage House will simply have to raise more money to meet the costs of the increased employer national insurance contributions. There are plenty of ways that you can get involved to support that.

If you are able to make a one-off or regular donation, please consider doing that. It is easy to do this via the website here: https://www.dementiasupport.org.uk/donate.

If you’d prefer to take up a challenge, consider fundraising for the charity. There are plenty of ideas and inspiration on the website: https://www.dementiasupport.org.uk/fundraise-for-us

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If you’re a local business, there are lots of ways that you could become involved. If you can’t support financially, volunteering time to help the charity can be a great team building activity as well as providing practical help. Giving time is so valuable. It is what none of us can buy more of! https://www.dementiasupport.org.uk/business-supporters

Lastly, if you’re in Tangmere, why not pop along to the friendly café at Sage House and treat yourself. You’ll not only be supporting the charity, but you’ll get to witness first-hand the invaluable work that it does for the local community.

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