The Federation of Small Business (FSB) have launched a petition against the government’s planned increase of employers’ National Insurance contributions (NIC).
The FSB are encouraging small business owners to sign the petition, which is set against any increase in NIC rates. It is thought that any increase in job tax would damage the UK’s economic recovery.
John Wright, the FSB’s National Chairman, commented:
“We know that putting a tax on jobs through the one per cent planned National Insurance rise is not going to help the country’s key employers take on new staff, and will do nothing to help tackle rising unemployment.”
Many more business groups such as the Confederation of Business Industry (CBI) and the British Chambers of Commerce (BCC) have condemned the planned increase as it is thought that it will hit small businesses especially hard, many of whom are already struggling to pay their existing tax bills.
Despite this the government and the Bank of England both appear to be determined to see this bill through regardless of pressure from these business groups.