From April 2014, every employer will be able to benefit from the new NI allowance. This will be worth upto £2,000 for each employer.

For the tax year 2014/15 employers will be able to reduce their payments to HMRC by the amount of employers NI included within the total amount payable for the month or quarter.

Registration to claim this allowance will be through payroll software as part of regular RTI submissions when the first submission is made to HMRC in 2014/15.

Small employers with an employers NI liability of less than £2,000 in a tax year will have their allowance restricted to the amount of the employers NI liability.