06 January 2022 
Julia Ascott, Employment Taxes Specialist
HMRC have asked BUFDG to share the following message with our members in relation to the Health & Social Care Levy and, in particular, what payslips should show.
“As you will be aware, on 7 September 2021, the government announced a new 1.25% Health and Social Care Levy to fund investment in the NHS, health and social care. The Levy will be introduced from April 2022 through a 1.25% uplift in National Insurance contributions (NICs) for working age employees, self-employed people and employers that will be added to the existing NHS allocation.
From April 2023, the Levy will be formally separated from NICs and will also apply to the earnings of individuals working above State Pension age. At this time NICs rates will return to 2021-22 levels.
To make visible the reason for the uplift in NICs, we are asking all employers, to put a message on payslip templates explaining what these funds will be used for. The message applies to all payslips for the tax year 2022-23 and should read “1.25% uplift in NICs funds NHS, health & social care”.
