Employment allowance

Employment Allowance is being increased to protect businesses by providing relief of up to £10,500 per annum on their employer Class 1 National Insurance Contributions liabilities from 6 April 2025.

Early Years Childcare Providers are entitled to claim the Employment Allowance if they are private businesses or charities, and it is expected the vast majority will be eligible to do so.

Please view the guidance for childcare providers on the relief available and eligibility rules.