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Carmichael welcomes extra support for Scottish businesses

Scottish Secretary welcomes measures that will deliver a £2,000 a year tax cut for 70,000 businesses and charities in Scotland.

This was published under the 2010 to 2015 Conservative and Liberal Democrat coalition government

National Insurance infographic

The Secretary of State for Scotland Alistair Carmichael has welcomed legislation unveiled by the UK Government today that will provide a significant boost to businesses across Scotland

The National Insurance Contributions Bill - introduced to the House of Commons today - provides the detail of a new employment allowance of £2,000 per year for all businesses and charities to offset against their employer national insurance bill from April 2014. This will benefit 70,000 businesses in Scotland by £100m in total, with 35,000 businesses taken out of employer national insurance contributions altogether.

Mr Carmichael said:

Small businesses are the engine room of our communities and the economy in Scotland. For them, a £2,000 per year tax cut will be a welcome boost, I hope. It will in fact cut the need for some 35,000 Scottish businesses to pay national insurance contributions at all.

I hope this will send a signal to the business community that we are on their side and want to see them play the fullest part in re-building our economy.

Published 14 October 2013