Exempt charities from the National Insurance rise or people will suffer, argues Clive Jones

9 Jan 2025

In a debate in Parliament, Clive Jones has warned Ministers that taxing charities will result in reduced services for those in need. Wokingham-based charities like The Cowshed have estimated that the NICs increase will cost them £7,000 a year. That is £7,000 no longer going toward the Cowshed’s mission of providing good quality, clean and ironed clothing - along with other essential items – free of charge for those in need. 

Furthermore, Citizens Advice Wokingham, along with the wider Citizens Advice organisation, have made it clear that this will reduce and limit people’s access to their free impartial advice and the information they provide. Locally, they are set to face a £16,000 rise each year. 

Another charity based in Wokingham, First Days, does vital work to combat child poverty. They provide school uniforms and equipment to thousands of children and offer specialist support for families undergoing financial hardship. The incoming NIC rise will mean that there are some families that First Days will not be able to support, that they otherwise would. 

Clive Jones argued that the Government should have taxed banks, online gambling companies and social media giants. He questioned why the Government are weakening organisations who support the most vulnerable in people in their communities. 

Clive Jones, the MP for Wokingham, said: 
“The human cost of increasing National Insurance Contributions for charities is far too great. 

“The Government could have been bold by taxing banks, online gambling and social media giants to raise more money. 

“The Government must decide if it is content to put bankers’ bonuses first instead of debt advisors and support for people facing evictions, homelessness and genuine need.” 

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