COMPANIES will get a big tax break if they hire forces veterans in a bid to get more straight into work, Rishi Sunak will announce.
In his Budget on Wednesday, the Chancellor will declare employers will no longer have to pay any National Insurance Contributions for ex-forces personnel for the first year of their work.
Chancellor Rishi Sunak will give companies a big tax break if they hire forces veterans in a bid to get more straight into work
The move – part of an ongoing government drive to better vets’ plight – will save bosses £2,000 in the tax for a worker hired on a £25,000 salary.
It is also one of an array in the Budget that delivers on promises made by the Tories in their general election manifesto.
Treasury ministers now dub Mr Sunak’s first financial blueprint for the nation as ‘the Manifesto Budget’ after the PM told his new No11 neighbour to include as many of them as possible in it to try to cement trust in the Tories among thousands of Labour switchers.
Around 15,000 sailors, soldiers and airmen leave the services every year. The tax break will kick in from April next year.
Mr Sunak told HOAR last night: “The UK owes all ex-servicemen and women a tremendous debt for serving our country and keeping us safe – so it is only right we help them in every possible way.
‘TREMENDOUS DEBT’
“My budget will deliver on the promises we’ve made to veterans, and the rest of the British people.”
Veterans Minister Johnny Mercer added: “I’m determined that this Government will continue to do all we can to assist veterans, especially when it comes to their transition back into civilian life.
“These latest government measures will help service leavers secure employment and ensure greater support for those with mental health needs.”
The Chancellor will also dole out an extra £10m of additional funds to support veterans with mental health needs, to be distributed by the Armed Forces Covenant Fund Trust.
And he will commit £3m to help build a memorial to the iconic Spitfire fighter plane and all those who flew and built it in World War Two.
It emerged last night that he will also announce a £1bn deal with mobile phone companies to do away with poor and patchy mobile coverage in remote areas.
It will see 4G coverage significantly improved everywhere, especially in Scotland, Northern Ireland and Wales.
Mr Sunak will also include £5bn to see gigabit broadband rolled out across the country by 2025, another of Mr Johnson’s flagship promises.
Other manifestos promises in the Budget are a £100 a year tax cut when the National insurance contributions tax-free threshold is raised to £9,500, and abolishing the Tampon Tax by scrapping the 5% VAT rate on all sanitary products.
