HR AND BUSINESS

Changes announced in Chancellor Rachel Reeve’s Autumn Budget are set to come into effect on 6 April, including increases to the National Living Wage. 

The minimum wage for over 21s, known officially as the National Living Wage, will rise from £11.44 to £12.21 from April 2025. For someone working full time, or a 37.5 hour week, that equates to £23,873.60 a year, up from £22,368.06.

For 18 to 20-year-olds, the minimum wage will rise from £8.60 to £10. This means someone on a 37.5 hour week would earn £19,552 a year, up from £16,815. 

Apprentices will get the biggest pay bump, from £6.40 to £7.55 an hour. That means their annual wage will go up to £14,762 from £12,513 at the moment.

Here’s a reminder of some of the other changes that might affect you if you're a pest control business owner: 

1. Increased National Insurance Contributions for employers and employers' allowance 

Employers' National Insurance contributions will rise from 13.8% to 15%, and the threshold for NI contributions will drop to £5,000 (down from £9,100). 

However, Employment Allowance has been expanded, by removing the £100,000 eligibility threshold, simplifying employer NICs so all eligible employers can benefit. The allowance will rise from £5,000 to £10,500. 

2. Higher Capital Gains Tax (CGT) rates 

The CGT lower rate will rise from 10% to 18%, and the higher rate from 18% to 24%, with residential property CGT also increasing. 

Business owners looking to sell assets or property related to their businesses will face higher CGT.  

Additionally, Business Asset Disposal Relief (BADR), designed to lower CGT for qualifying businesses, will also increase from 10% to 14% in April 2025, and then to 18% in April 2026, matching the main lower rate. 

Read more about how all the changes might affect pest management businesses on our website.