§ Mr. ChaytorTo ask the Secretary of State for Health if he will estimate the revenue effect of reducing national insurance charges by 0.5 per cent. for those employed by the NHS. [82750]
§ Mr. DenhamThe rate of employers national insurance will be reduced by 0.5 per cent. from April 2000. This will have the effect of reducing the national insurance bill for hospital and community health services by approximately £38 million. The reduction in employers national insurance rates is intended to compensate for the climate change levy announced in the budget. The overall effect of these two policies on the National Health Service is expected to be broadly cost neutral.