Budget impact | BT estimates £100m cost of NI & minimum wage rise - confirms plan to slash 55,000 roles by 2030

BT has placed a £100m estimated cost on the impact of last week’s Budget, driven predominantly by a rise in minimum wages and increased National Insurance (NI) contributions.

Allison Kirkby, CEO at BT, said that the rise in NI costs could reach up to £75million alone.

She said that the 6.7% increase in the national minimum wage would add a further £20million to £25million in costs.

In the Autumn Budget last week, Chancellor Rachel Reeves announced companies will pay NI at 15% on salaries above £5,000 from April 2025, up from the current rate of 13.8% on salaries above £9,100.