New recruiters urged to have a ‘NIC holiday’

Wed, 8 Sep 2010

Potential new entrants to the recruitment sector have been urged to take advantage of a ‘holiday’ in paying staff National Insurance Contributions (NICs) by Liz Longman, UK director of independent recruiters’ network The Employment Agencies Movement (TEAM).

Businesses established outside of London, the South-East and East of England are eligible for the ‘holiday’ worth up to £5,000 for up to the first 10 employees they hire in their first year of business, as announced in the coalition government’s June Budget.

Longman told Recruiter that the new allowance presents new business opportunities for recruiters, as well as the opportunity for some entrepreneurial recruiters to set up on their own.

“Client businesses setting up will offer more business to the sector. This is a great opportunity for agencies to offer their services to a growing business attracting the right talent.

“TEAM has not seen an increase in applications from recently set up agencies but one of the TEAM criteria for membership is that an agency has at least six months trading so this would take a while for an increase to show.