How Zest’s Benefits Platform Is Helping UK Employers Slash National Insurance Costs
Turn that 13.8 % tax bite into a smart savings strategy—Zest keeps employers’ pockets fuller by letting them re‑imagine taxable benefits. As a result, businesses in the UK are pulling in around £6.7 million every month in National Insurance relief.
The Upshot of the New Budget
Thanks to the Chancellor’s latest tweak, NI jumps from 13.8 % to 15 % on wages above £175 a week starting April. The rise is set to cost firms a £25 billion extra each year, but savvy organisations are already flipping the script.
Salary‑Sacrifice Schemes: A Popular Tax‑Busting Hack
More than one in five SMEs are now leaning into these schemes—they let staff give up part of their salary for perks that deduct from the employer’s NI bill.
Zest’s Platform: Employees Gaining More, Budgets Less
- 45 % of Zest users log in at least once a month, keeping them in the loop.
- Employees spend roughly £62 a month on benefits, with pensions, private health and savings schemes topping the list.
Bottom Line
By pairing smart benefit choices with Zest’s tech, employers are not just trimming their National Insurance taxes—they’re also boosting employee satisfaction—all while keeping the books tight.
Growing importance of employee benefits
Why UK Staff’re Betting on Benefits Over Pay
Did you know that 47 % of UK employees say a solid benefits package beats a raise any day? Even more – 56 % would jump ship if a rival company could sweeten the pot.
The Salary Dilemma
Only 19 % of firms can keep wages bumping up alongside inflation. With wages stuck in a fizzy loop, companies are turning to perks to keep the workforce happy and the talent pipeline alive.
More Money Added, but Where to?
- Half of businesses (49 %) said they beefed up their benefits over the last year.
- After the latest Budget, many leaders worry about the “NI bump” – the extra cost of National Insurance.
- Investing in benefits can shave off operational costs, turbo‑charge productivity, and keep the right people on board.
The Best-Kept Secret: Salary Sacrifice
Ever heard of “salary sacrifice”? It’s a slick trick: you reduce your gross pay so you pay less NI, meaning less tax for you and a cut in the company’s liabilities. The savings? Re‑invested straight back into goodies for the crew.
What Employees are Really Asking For
Companies must not simply toss money at the benefits box, but understand what the crew actually needs. Good communication, listening to the data on what perks get taken up, and actually delivering it—that’s the real deal.
Zest: Giving Firms a Love‑Letter for Benefits
Zest is a tech hub for employee perks, already hosting over 500 customers such as Hargreaves Lansdown, Taylor Wimpey, Yahoo, and Travis Perkins. With more than 300 000 employees on board, their platform is award‑winning for ultra‑flexible benefits.
Ready to give your workforce the love they deserve while keeping costs in check? Give your team perks that say “we value you” and watch both morale and productivity soar.
