Chieu Cao, CEO and Founder of Mintago, has been featured in an article discussing the UK Chancellor Rishi Sunak’s Spring budget statement. The article focuses on how the Chancellor addressed the current Cost of Living Crisis.
Chieu Cao, chief executive of financial firm Mintago, said: “The NI hike has been looming on the horizon for some time – but that will not make it much easier for businesses to stomach. Rising inflation, interest rates and energy costs have already placed significant pressure on businesses’ finances. The increase to their NI bill is another factor jeopardising their ability to bounce back from the hardships of the pandemic.
“Crucially, companies must not panic. Rather than making rash, dramatic budgetary cuts, companies should take stock of all options available to them. And this might involve exploring lesser-known avenues, such as the government’s salary sacrifice pension scheme (SSPS).
“For example, Mintago’s calculations revealed that a business with 100 employees paying an average salary of £30,000 could save up to £17,879 in NI payments annually by adopting the scheme – potential savings that cannot be ignored. Without doubt, the coming year will be challenging for businesses given the economic landscape.
“So, savvy financial management is required, whether that is the SPSS or other initiatives. So long as businesses remain flexible, and seek guidance where necessary, they will likely put themselves in a stronger financial position over the months to come.”