Comment from GRiD on the Autumn Statement
23 November 2016
"We are obviously disappointed that Government has not seen fit to give an exemption for group life or income protection where employees are able to increase their coverage through salary sacrifice. The amounts involved are small and the resulting change will simply add complexity for providers and scheme members. It will add a further burden on businesses which might otherwise have included a facility to allow their employees to build on a basic level of employer-provided cover.
"GRiD put forward the case for the provision of these benefits to be encouraged as they:
- Reduce the burden on the State (both through reduced expenditure on State Benefits and increased revenue through tax and NI).
- Provide value to employers and employees.
- Are aligned to DWP goals of supporting people back to work.
"The outcome is particularly pertinent for group income protection given that the DWP/DH green paper on work, health and disability has recognised the role that group income protection can play in supporting employers' health, wellness and attendance programmes. Clearly some joined up thinking needs to take place here."
Katharine Moxham, spokesperson for GRiD