The recent 2024 budget includes a significant shift in employer National Insurance (NI) contributions, with the rate increasing by 1.2 percentage points to 15%, and a lowered earnings threshold now starting at £5,000 (down from £9,100). These adjustments could lead to higher payroll expenses for mid-sized and larger businesses, affecting hiring strategies and budgeting in 2025 and beyond. Key Details of the Change Rate Increase: The NI contribution rate for employers rises to 15%. Lower Earnings Threshold: Employers will now pay NI on earnings starting at £5,000, significantly reducing the exemption range. This change is intended to boost government revenue but will likely increase costs for businesses with lower-wage roles. Employment Allowance Adjustments: The Employment Allowance, which offers some relief on NI costs, increases to £10,500. This provides a cushion for many small businesses, particularly those employing fewer staff. How These Changes Impact Staffing and Recruitment Businesses may see these shifts reflected in higher staffing costs, particularly for mid-sized and larger firms with significant payrolls. These added expenses might influence decisions on wage increases, hiring plans, and even the type of roles businesses choose to fill. Employers should prepare for potential shifts in their budget allocations to maintain competitiveness while managing increased contributions. Preparing Your Business Planning ahead is essential. Key steps might include: Calculating projected costs to budget for the changes Evaluating workforce needs and considering the potential impact on hiring strategies Maximising allowances by confirming eligibility for the updated Employment Allowance We will be updating our blog in the coming days with a detailed breakdown and calculations, so visit us again soon!

Get ready for positive changes coming in April 2025! An increase in the minimum wage is fantastic news for millions across the UK, designed to help workers cope with the high cost of living. The Introduction of Minimum Wage The minimum wage was introduced in the UK in 1999, following legislation passed by the Labour government in 1998. Before its introduction, the lowest-paid workers experienced stagnant wage growth. Contrary to initial concerns that it would lead to job losses, evidence shows no overall negative impact on employment levels. What’s Changing? From 1 April 2025, the minimum wage increases will be as follows: Aged 21 and over: £11.44 to £12.21 Aged 18 to 20: £8.60 to £10.00 Apprentice rate: £6.40 to £7.55 Under 18s: Rate yet to be confirmed Salary Breakdown

As businesses evolve and embrace digital solutions, one area that has seen rapid innovation is Human Resources. From managing employee records to tracking performance, HR technology promises to simplify and streamline processes. However, with so many options available, many HR professionals are left asking, "Which one is right for us?" And for some, the question remains—is a spreadsheet really the answer? We’ve been speaking to our HR clients recently, and the consensus seems to be that navigating the HR tech landscape is a minefield. Some solutions focus on one key area, while others aim to cover the entire employee lifecycle. The result? It can be difficult to know where to start. The Abundance of HR Software Options In today’s market, there are countless HR systems, each offering its own set of tools and benefits. Some of the most popular HR software solutions include: Breathe HR: Perfect for small and medium-sized businesses, Breathe HR offers a simple, user-friendly platform that focuses on core HR functions like managing employee data, absence tracking, and performance management. However, for those seeking more specialized features like recruitment or payroll, it may not be the most comprehensive option. Hi Bob: A newer platform making waves, Hi Bob combines employee engagement tools with core HR features. It’s ideal for growing businesses looking for a fresh approach to HR tech, offering features like people analytics and culture mapping, but some users have found it more geared toward employee experience rather than administration-heavy HR tasks. Bright HR: Another favorite among SMEs, Bright HR helps businesses manage leave, expenses, and even health and safety, offering a full toolkit for compliance and HR management. However, if you’re looking for advanced recruitment or learning and development features, it may not cover all the bases. BambooHR: Known for its easy-to-use interface, BambooHR focuses on employee data management, time-off tracking, and performance management. However, it doesn’t offer in-depth payroll features. Workday: A robust system offering everything from HR management to finance and planning, but its complexity may overwhelm smaller businesses looking for simplicity. Personio: Aimed at SMEs, Personio combines recruiting, employee data, payroll, and more, but users have mentioned that its recruiting features are more advanced than its HR administration tools. SAP SuccessFactors: A comprehensive suite for large enterprises, it covers everything from recruitment to employee engagement. However, with so many features, the learning curve can be steep for smaller teams. Each of these platforms offers significant benefits, but they don’t all solve the same problems. If you're looking to improve recruitment and onboarding, one solution might be perfect for you. But if your focus is on employee development and performance, another might be the better fit. This is where many HR managers feel stuck. Can a Spreadsheet Compete? With so many HR tech choices, some businesses—especially SMEs—still rely on spreadsheets to track employee data. It’s a solution that offers simplicity and flexibility, but is it really the answer for modern HR needs? Spreadsheets may work for small teams with straightforward HR processes, but they lack scalability, automation, and integration. When it comes to managing complex tasks like payroll, performance reviews, and compliance, manual entry in a spreadsheet opens the door to errors, inefficiencies, and lost time. As one HR manager told us, “We thought we were saving money by sticking with spreadsheets, but the time spent fixing mistakes far outweighed any savings.” What Should You Look For? When choosing HR software, it’s important to start with your specific needs. Do you want to focus on recruitment and onboarding? Or are you looking to improve employee engagement and retention? Once you’ve identified your priorities, here are a few key questions to consider: Integration: Does the software integrate with your current tools, such as payroll systems or recruitment platforms? User-friendliness: Is it intuitive and easy for both HR staff and employees to use? Scalability: Will it grow with your business, or will you outgrow it in a few years? Support and training: What level of support is offered? Will you and your team get the training you need to fully utilize the platform? The Verdict: One Size Does Not Fit All  The HR tech landscape is indeed a minefield, with solutions that focus on every aspect of the employee lifecycle. While no single system will fit every business perfectly, choosing the right one requires a balance between your unique needs and the platform’s capabilities. Spreadsheets might work in the short term, but as your business grows, relying on manual tools could become a costly and time-consuming mistake. If you’re feeling overwhelmed by the options, know that you’re not alone. We've helped many clients navigate this decision-making process, and we’d be happy to help you too. Whether you need guidance on where to start or are looking for a solution that integrates seamlessly with your current processes, we’re here to ensure you make the right choice for your business.