Economic Development Minister, John Shimmin MHK, has praised Treasury for the introduction of the new National Insurance Holiday Scheme, which was announced in the recent Budget. The scheme was introduced to help encourage employers to recruit additional employees.
The Employer National Insurance Holiday Scheme begins on 6 April 2012 and ends on 5 April 2014. During that period, an employer will not be required to pay the secondary Class 1 National Insurance Contributions due for any newly recruited employees who qualify under the scheme.
Minister Shimmin said:
'The Treasury are to be applauded for introducing this scheme. I believe it will boost the Island’s competitiveness as a location for business and is another tool we can use to encourage economic growth.'
'Coupled with the existing support the Department offers to businesses, such as the Financial Assistance Scheme, the new National Insurance initiative can help achieve the main priorities that I have outlined for the Department: namely, supporting existing businesses in the Island to ensure their continued presence and development; encouraging new businesses to establish in the Isle of Man; identifying and pursuing the development of new business sectors; and promoting the Isle of Man as a world class international business centre.'
The move has also been welcomed by the Island’s business community.
Chief Executive of the Isle of Man Chamber of Commerce, Mike Hennessy, said:
'Chamber has supported this type of initiative in prior discussions with Treasury and as such welcomes the move. Every economy around the world has its challenges presently and any move to encourage job creation aligned with ongoing economic prosperity will be well received on the Island.'