HMRC launch consultation on zero-rate employers’ NIC for veterans

Released 11 January 2021

HMRC have launched a consultation on draft legislation to introduce a zero secondary (employer) Class 1 NIC rate on the salaries of veterans during the first year of civilian employment.

It is intended the new zero rate will provide employers with a relief worth up to £5,000 for each qualifying veteran they hire. A veteran will qualify if they have completed at least one day of basic training in Her Majesty’s regular armed forces. Employers will be able to claim this relief for the 12-month period starting on the first day of the veteran’s first civilian employment since leaving the regular armed forces.

Subsequent and concurring employers will be able to claim the relief during this period. This zero-rate will apply up to the Upper Secondary Threshold.

The consultation runs until March 2021.

View the consultation details.

Details of HMRC’s earlier consultation on the proposals can be found at

Be the first to vote