Smart training solutions to offset NIC and NMW increases

Smart training solutions to offset NIC and NMW increases

In April 2025, companies were hit with a range of business cost increases, which employers expect to impact cash flow, profit, and staff development. With the UK government's 2024 Autumn Budget now in force, companies are grappling with sharp operational expenditure rises:

• The National Minimum Wage (NMW) for employees over 21 rose 6.7% to £12.21 an hour. For workers aged 18-20, the NMW increased by 16.3% to £10 per hour.
• Employer National Insurance Contributions (NICs) climbed from 13.8% to 15%.
• The secondary threshold for employer NICs fell from £9,100 to £5,000 per year, lowering the point at which company contributions kick in.

In a high-risk builders merchant environment, decreased investment in safety skills can lead to costly compliance issues. To avoid a drop in overall standards – and a leap in accidents and injuries – merchants can adopt a budget- and business-friendly approach to staff development.

Start with safety fundamentals

In challenging financial conditions, your training budget needs to work harder – so make sure you're getting the basics right. Equipping your team with fundamental safety knowledge can avoid the significant costs of a serious compliance breach.

Opt for approved courses that provide a solid overview of safety essentials. Sessions should meet the government's introductory health and safety training guidelines and match the Health and Safety Executive's 'passport' syllabus. At the end of the course, workers should understand how to:

• Define hazard and risk
• Identify common hazards in your workplace
• Improve safety performance
• Protect the environment

Boost knowledge with role-specific training

Targeted training helps employees perform their unique roles with confidence, reducing errors, boosting morale, and ensuring compliance with health and safety regulations. When every penny counts, a well-informed team can head off financial penalties through preventative safety measures and a proactive mindset.

Key training topics might include:

• Handling hazardous materials (COSHH)
• Forklift truck and workplace transport
• Manual handling
• Working at height
• Slips, trips, and falls
• Fire safety
• First aid

Invest in top-down accountability

When it comes to safety, inconsistency costs. A clear, company-wide compliance culture means workers understand your policies, standards, and safety goals and pull together to achieve them. This coordinated approach begins at the top – with best practice behaviours modelled by your entire management team.

Executive courses encourage a business-led compliance perspective, driving safety excellence at senior level. Typical content tackles key questions, including:

• How would you define your 'safety culture'? How is it reflected within your workforce?
• How does your business manage health and safety risks?
• How well equipped is your organisation to deal with a serious accident or fatality at work?
• Do you know your company's responsibilities towards staff, the public, and contractors?

Partner with a health and safety expert

Working with an experienced safety consultant can contain the financial fallout of rising NIC and NMW payments. Your partner will advise on the compliance concerns you can't ignore and – crucially – commonly overlooked areas to recoup savings.

Opus Safety has helped builders merchants across the UK navigate changing legislation, maximise their training investment, and implement cost-effective compliance programmes that deliver genuine results.

To discuss how our business-minded team can support your operations, get in touch on 0330 043 4015 or email hello@opus-safety.co.uk.