Allowances waiting to be claimed

There could be millions of pounds worth of allowances waiting to be claimed by small and medium sized businesses in the UK.

Owen Kyffin, director at Whitley Stimpson, leading business advisers and accountants said that recent research shows that 10 per cent of SMEs are not claiming their £2,000 annual employment allowance.

The new allowance came into force in April 2014 and was met with enthusiasm by SMEs because it opened up opportunities to recruit staff, invest in new equipment, help pay off an overdraft or pay for staff training.

According to research just published the Class I National Insurance rebate is being claimed by 89 per cent of firms, but that nine percent had not checked to see if they are eligible and two per cent had not made any effort to benefit from it.

Owen said: “The method of claiming this allowance is quite simple and I am surprised at the number of relevant business who have not claimed.  The amount may appear to be small but it opens up so many possibilities for SMEs, which make up 99 per cent of all private businesses in the UK.

“I would urge businesses to check their eligibility for this allowance – indeed all possible allowances – because they can be a vital part of growth or cost reduction and therefore vital for the success of businesses in this area.”

Whitley Stimpson is the leading adviser on financial matters for businesses and individuals and Owen Kyffin can be contacted on 01295 270200 or by email at owenk@whitleystimpson.co.uk