Employers are able to claim Employment Allowance to reduce the amount of the employer’s National Insurance Contributions (NIC) by up to £2,000 per employer per annum. At present it is not possible for people employing domestic workers, including care and support workers, to claim Employment Allowance.
From April 2015 Employment Allowance will be made available to households that employ care and support workers. This means that a family will be able to employ a care worker on a salary of up to £22,500 without needing to pay Employer NIC.
This change will reduce the costs of employing care and support workers and will go some way towards widening access to this form of personal care for families.