Julia Neden-Watts from Richmond Council expressed concerns over the impact of rising national insurance rates on local services, particularly the cost of keeping the streets clean. Businesses currently pay 13.8% on employees’ earnings above £9,100 annually, but this rate is set to increase to 15% in April 2025, while the threshold will be reduced to £5,000.
The rise in national insurance will likely increase contractor costs for councils, putting added pressure on already limited budgets. Neden-Watts emphasized that Richmond Council was working to “work smarter” and find ways to mitigate these increased costs.
She explained that a focus on recycling and reusing materials would help save money, reducing the need for waste collection and disposal. “It’s about where you can invest to save. The more reuse, the more recycling, the less we have to spend on collecting and disposing of rubbish,” Neden-Watts said.
Despite these challenges, Neden-Watts believes that there are opportunities within the funding gap. She acknowledged the difficulty but stressed the importance of finding “positives” amid the financial pressures. The council’s focus on sustainability and cost-efficient strategies aims to balance the impact of rising national insurance without sacrificing essential services.