Seventy-six percent of organisations expect major financial impacts from the UK Government's planned increase in Employer National Insurance Contributions (NICs) on the voluntary and community sector, according to research from the Northern Ireland Council for Voluntary Action (NICVA).

The NICVA survey, of 68 organisations, also showed many are facing additional costs between £5,000 and £200,000 annually from April 2025.

One social care provider anticipates costs between £200,000 - £500,000.

Celine McStravick, Chief Executive of NICVA, said: "This NICs increase threatens the very sustainability of Northern Ireland's voluntary sector at a time when our services are needed most.

"Unlike public sector organisations, we have no protection against these rising costs.

"Without immediate government intervention, we'll see widespread service reductions, job losses, and diminished support for our most vulnerable communities."

Key findings from the survey include:

• 50% of organisations project budget increases between £5,000-£200,000

• Organisations report inevitable redundancies, particularly in core administrative roles

• Service reductions will affect childcare, disability support, mental health services, and community programs

• Many organisations will struggle to maintain Living Wage commitments

In response, the NICVA has called for the UK Government to reimburse voluntary sector NICs increases, and for the Northern Ireland Executive to reflect increased costs in all future public sector contracts and grants.

The voluntary sector employs over 55,000 staff in Northern Ireland, delivering essential services often on behalf of government.

Without support, this NICs increase will significantly impact service delivery and community support across the region.

Further information can be found here