Autumn Statement 2016 Analysis: What will salary sacrifice changes mean for employee benefits?

clock
 parliament-commons-lords.jpg
Image:

parliament-commons-lords.jpg

Fiona Murphy analyses how the restriction of salary sacrifice tax-free benefits will affect employee benefits.

In the Autumn Statement 2016, chancellor Philip Hammond announced the restriction of tax-free benefits offered by salary sacrifice schemes. Hammond said that this move is set to save the government more than £1bn by 2022. The chancellor said the restrictions to the salary sacrifice regime would take effect from April 2017. HM Treasury said this would mean "most salary sacrifice schemes will be subject to the same tax as cash income". However the government has earmarked the benefits that...

To continue reading this article...

Join Cover

  • Unlimited access to real-time news, key trend analysis and industry insights.
  • Stay on top of the latest developments around Covid-19, regulation, diversity and mental health.
  • Receive breaking news stories straight to your inbox in the daily newsletter.
  • Exclusive access to our fortnightly Protection insight mini-podcast.
  • Be the first to hear about our CPD accredited events and awards programmes.

Join now

 

Already a Cover member?

Login

More on Regulation

The Chancellor works on his Budget speech with his staff.  Photo: Flickr/HMTreasury

Autumn Budget 2021: £5.9bn allocated to clear current NHS backlogs

Around 5.7m waiting for hospital treatment

John Brazier
clock 27 October 2021 • 2 min read
COVER Protection & Health Summit 2021: Final week to register for next week's flagship conference

COVER Protection & Health Summit 2021: Final week to register for next week's flagship conference

Key reasons to attend

COVER
clock 27 October 2021 • 2 min read
FCA gives green light to next stage of LV= demutualisation

FCA gives green light to next stage of LV= demutualisation

Confirmation of non-objection from regulator

John Brazier
clock 26 October 2021 • 2 min read