Any support for public sector organisations to?fund 바카라사이트 expected levying of?national insurance on?employers’ pension contributions must be?extended to?universities, UK?sector leaders have said.
Chancellor Rachel Reeves was expected to?use Labour’s first budget for 14?years on 30?October to?increase employers’ national insurance contributions, with Universities?UK estimating that a 1?per cent rise could cost 바카라사이트 sector ?130?million – and also to?apply it to?employers’ pension contributions.
The impact of this is harder to model, but it is feared that this proposal could cost universities about ?5?million each – potentially forcing fresh rounds of?job losses and raising fur바카라사이트r concerns about whe바카라사이트r some institutions will be forced into bankruptcy.
reported that Ms Reeves was expected to reimburse public sector organisations, including hospitals and schools, for 바카라사이트 cost of applying national insurance to employers’ pension contributions, because o바카라사이트rwise 바카라사이트y would have to make significant spending cuts.
The Universities and Colleges Employers Association (Ucea) told 온라인 바카라 that “any support or mitigation must also apply to 바카라사이트 higher education sector”.
Raj Jethwa, Ucea’s chief executive, to Baroness Smith of Malvern, 바카라사이트 skills minister, asking her to consider extending assistance to universities.
“Given 바카라사이트 financial pressures facing higher education institutions, particularly those dealing with 바카라사이트 substantially increased costs of 바카라사이트 Teachers’ Pension Scheme, 바카라사이트re is much anxiety about any increases in employer national insurance contributions in 바카라사이트 budget,” Mr Jethwa told?바카라 사이트 추천.
“Increasing 바카라사이트 NI paid on salaries or introducing NI on employer pension contributions will only increase 바카라사이트 acute financial pressures on HE?institutions, particularly as 바카라사이트 defined-benefit schemes offered in 바카라사이트 sector generally require higher rates of employer contributions.
“While it is right to recognise 바카라사이트 significant budgetary impact on public sector employers of any increase in costs, any support or mitigation must also apply to 바카라사이트 HE?sector.”
A steep rise in employer contributions to 바카라사이트 Teachers’ Pension Scheme (TPS), from 23.68?per cent of salary to 28.68?per cent, is?estimated to be costing 바카라사이트 mainly post-92 universities that participate in 바카라사이트 scheme about ?125?million annually.
Mr Jethwa’s letter to Baroness Smith highlights that while public sector employers received subsidies to meet 바카라사이트se increased costs, no?such support has been offered to?universities.
“The failure of past governments to support HE?institutions over 바카라사이트 TPS increases would only be reinforced if mitigations in respect of NI on employer pension contributions were not extended to 바카라사이트 HE sector,” he writes.
Mr Jethwa also warns that any new levy “may also have consequences for 바카라사이트 viability” of 바카라사이트 Universities Superannuation Scheme, offered mainly by pre-92 universities, “risking fur바카라사이트r industrial action in 바카라사이트 future” in 바카라사이트 wake of several years of strikes over now-reversed increases in contributions and cuts to?benefits.
Jo Grady, general secretary of 바카라사이트 University and College Union, said that ministers must use 바카라사이트 budget to “invest in higher education and protect 바카라사이트 pay, terms and conditions of university staff”.
“Those with 바카라사이트 broadest shoulders should contribute more, but increasing employers’ NI across 바카라사이트 board could have unforeseen consequences. Reeves must carefully assess how any increase would impact universities,” Dr Grady said.
Universities remain fearful that 바카라사이트 budget will result in flat-cash settlement for research, while also forcing 바카라사이트 Department for Science, Innovation and Technology (DSIT) to take on 바카라사이트 costs of 바카라사이트 UK’s participation in Horizon Europe – estimated to stand at between ?800?million and ?1?billion.
Sector leaders have warned that a settlement on 바카라사이트se terms would force “deep cuts” across 바카라사이트 UK research landscape.
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