The UK’s 2024 Autumn Budget introduced pivotal changes to National Insurance Contributions (NICs) that are set to challenge businesses across the board. With the employer NICs rate rising from 13.8% to 15% and the threshold reduced to £5,000 per employee per year from April 2025, companies face a dual challenge: managing rising costs while maintaining employee morale and engagement.
For a business with 100 employees earning the UK average salary of £35,040, these changes translate to an extra £92,600 in annual costs. In light of such pressures, HR leaders are tasked with balancing fiscal responsibility with employee satisfaction, prompting a rethink of traditional employee benefits strategies.
The key? Investing in cost-efficient, high-impact solutions like fitness and wellbeing programs. Flexible benefits that boost morale and productivity without breaking the bank are becoming the cornerstone of forward-thinking strategies.
Hussle, for instance, offers a scalable fitness benefit that provides businesses with a cost-effective way to invest in employee wellbeing. Through affordable access to thousands of fitness venues, Hussle’s model only charges businesses for the benefits employees actively use—making it adaptable for companies of all sizes.
The link between fitness and productivity is undeniable. UK businesses lose £138 billion annually to poor employee health, with presenteeism costing more than formal absences. Regular exercise improves stress management by 46% and boosts productivity by 30%, helping businesses save £1,256 per employee annually in lost productivity costs.
As rising NICs and broader financial pressures take their toll, HR leaders have a unique opportunity to rethink benefits offerings. Affordable solutions like Hussle not only address the immediate financial strain but also enhance morale, reduce stress, and drive productivity—ultimately helping businesses emerge stronger in a competitive labour market.
Balancing employee wellbeing with cost-efficiency is no longer just an option; it’s a necessity in 2025 and beyond. You can find out more about Hussle’s unique fitness benefits by visiting their website.
