Salary Sacrifice Announcement

Despite salary sacrifice schemes growing in popularity, behind the scenes it has been a tense couple of months. Finally, after a period of speculation, the future of the popular system has been cemented. Fleet Evolution are one of the UK’s premier providers of salary sacrifice schemes to SMEs. They have welcomed the news that they will be protected for at least the next five years. Here’s the latest on salary sacrifice news.

“The Autumn Statement has been weighing over our heads. But we are so happy that the government has recognised the incredible benefits offered by salary sacrifice schemes. Working for both employers and employees alike. Since their inception, the schemes have largely helped people reduce their carbon footprint while also saving money. We are extremely pleased that the government hasn’t paid any attention to the negative press. Amazingly, they instead looked at them with new, fresh eyes.”

Andrew Leech, Managing Director at Fleet Evolution

The Autumn Statement covered a whole host of topics, but at the core was the popular schemes. Currently, there are no limitations on the uses of salary sacrifice. As a result, the recent HMRC consultation document proposed banning some perks rather than dismantling the entire system. It seems that Philip Hammond, the Chancellor, took some of these concerns on board.

Salary sacrifice schemes will now be subject to the same tax and National Insurance charges as cash income, but with the exception of a handful of schemes – notably, ultra-low emission cars. The scheme, along with others, will instead remain the same. This is not only excellent news for those already taking advantage and those looking into these further. It’s great for the planet as a whole.

These New Changes are Down to the Aforementioned HMRC Consultation

It flagged up some concerns that these benefits are distributed unfairly across the workforce. With large employers being more likely to offer salary sacrifice than small ones due to their size. According to the consultation, it is much easier for large companies to handle the administration, whilst achieving larger reductions to their National Insurance bill.

Fleet Evolution specialises in working with SMEs to ensure they too can provide the same benefits as their larger counterparts.

“Salary sacrifice schemes have been proven to increase employee loyalty and boost morale. What business doesn’t want to reap those kinds of benefits?”

Click here to find out more about Fleet Evolution’s Salary Sacrifice Scheme!

Download a guide here:

[[[[null,"contains","mollie.campbell"]],[["email_to"],[]],"and"]]
1 Step 1
All You Need to Know Guide

Find out all you need to know about our Employee Car scheme with this guide. Enter your details below and we'll send you the guide via email!

By choosing 'Submit', you consent to receive follow-up from Fleet Evolution, which you can opt-out of at any time.

keyboard_arrow_leftPrevious
Nextkeyboard_arrow_right

Tags : ,