Cash plea from MPs after Labour National Insurance tax hike
MPs are accused of being hypocritical for requesting additional funding to counteract Labour’s tax increases.
The Sun on Sunday can disclose that their union allies are demanding more funding for politicians to pay employees.
The action follows Chancellor Rachel Reeves’ announcement of an increase in Employers National Insurance starting in April.
MPs believe they should be given preferential treatment when charities consider letting someone go because they cannot afford it, according to a source.
Hospices and assisted living facilities have warned that the hikes may force them to close.
Additionally, 70 businesses, including Tesco, Marks & Spencer, and Next, have issued warnings that their stores would close as a result.
According to sources, Tory offices were campaigning through a staff organization called MAPSA, while union Unite was spearheading the effort for Labour MPs.
“I’m hoping for an uplift to reflect [the] increase in Employers National Insurance (otherwise we can’t give any staff raises at all,” stated a Tory MP’s staff member in a parliamentary WhatsApp group.
MPs in London receive 268,550 in staff pay annually, while those outside the capital receive 250,820. They often have three to five employees.
According to sources, Ipsa, which oversees MPbusiness costs, will include the NICs increase when creating new budgets in March.
“The sheer brass neck of parliamentarians will infuriate taxpayers,” stated John O. Connell, the head of the TaxPayers Alliance.
“If politicians are going to force businesses and workers to tighten their belts, they should be told to tighten theirs.”
The largest revenue-raising measures in the Chancellor’s Budget last month were raising the employer rate of NICs to 15% and decreasing the tax-free threshold to $5,000.
The tax increase does not apply to the NHS or the rest of the public sector.
“Based on comparable work across the public sector, Ipsa reviews staff pay annually and determines a cost-of-living increase that is payable to MPs staff,” an Ipsa representative stated.
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