Lee Peart 19 March 2025

Government votes to reject health and care NICs exemption

Government votes to reject health and care NICs exemption image
Image: Mistervlad / Shutterstock.com.

The Government has voted to reject a Liberal Democrat amendment to exempt health and care providers from a rise in NICs.

The amendment was defeated by 307 votes to 182 in a vote in Parliament this afternoon.

Liberal Democrat Treasury spokesperson Daisy Cooper said: ‘Labour MPs today have voted for a health tax on GPs, dentists, pharmacies, hospices and care homes, and it is patients who will pay the price.

‘The Liberal Democrats are proud we have led the fight to exempt health and care providers from this misguided tax hike, and we will not give up now.

‘On 6 April worried social care providers and GP surgeries are going to be hit with bills they simply cannot afford. Rachel Reeves must finally see sense, U-turn on this disastrous policy and exempt health and care providers from this damaging jobs tax.'

Speaking ahead of the vote, Conservative leader Kemi Badenoch called on Prime Minister Sir Keir Starmer to exempt hospices from NICs warning that it could effect end-of-life care.

Responding, the PM said: ‘We have already invested £100m for adults and children's hospices with an additional £26m in funding for the children's hospice grant.'

Lee Peart is editor of Hemming Group’s Healthcare Management magazine.

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