With effect from 6 April 2016, you may be interested to learn that you may no longer have to pay employer Class 1 NICs for apprentices under the age of 25.
Currently employer Class 1 NICs are due for all employees aged 21 or over.
For the tax year 2016-17 it is proposed that the new NI category H will be used for apprentices who in addition to being under 25 are:
• working towards a Government recognised apprenticeship in the UK which follows a government approved framework/standard
• have a written agreement (between employer, apprentice and training provider), giving the government recognised apprentice framework or standard, with a start and expected completion date.
Employers NIC will be at a rate of 0% up to the new Apprentice Upper Secondary Threshold, which will be aligned with the Upper Secondary Threshold for the tax year beginning 6 April 2016. Earnings above the Apprentice Upper Secondary Threshold (for 2015-16 £3,532 per month) will be at the full rate of 13.8%.
This does not affect the calculation of primary Class 1 NICs deducted from apprentices.
For more information see the HMRC website