April 2025 Employer NIC Rise & Tax Changes: Playbook for Accounting Firms

It's been a busy period for all accounting firms. Here's a snapshot of the updates and some useful resources to help your firm as well as some helpful bits for your clients!

📖 How to Use This Quick Fire Playbook

It’s been a frantic spring for accounting firms. Use this quick-fire playbook to absorb the new rules, steady your workflows and add value to your clients.

Scan the 60-second snapshot – headline changes.
Run the firm self-check – spot any gaps.
Share the client update – instant value.
Grab Free Resources – Make sure you’re ready to rumble.

30-Second Snapshot 🚦

Employer NICs: Rate 15% (was 13.8%); secondary threshold £5 000 (was £9 100)
National Living/Minimum Wage: £12.21 (21+); 18-20 rate £10; under-18 & apprentices £7.55
Employment Allowance: Doubles to £10 500; £100k cap scrapped
CGT: Main rates 18% / 24%; BADR & Investors’ Relief 14% (18% from 2026)
Inheritance Tax: APR/BPR 100% relief capped at £1m from 2026; above that 50%. Pension pots enter estate from 2027
Non-dom rules: Remittance basis abolished; new 4-year FIG regime; residence-based IHT coming, residence-based IHT (10/20 test)
FHL regime: Furnished Holiday Let tax advantages ended
Vehicles: EV VED starts (£10 first year, £195 thereafter); BiK still 3% this year; double-cab pick-ups now treated as cars
MTD ITSA: Digital quarterly filing widens to landlords / sole traders over £30k turnover
HMRC late-payment interest: HMRC rate +1.5pp (now ~ 8.5%)
Statutory payments: Sick £118.75 pw; parental pay £187.18 pw; small-employer relief now 108.5%

If that’s all you needed… fantastic. Want the practical angle? Read on.

Firm Self-Check 🏢

What’s new

Questions to ask yourself

Payroll cost spike

Does our software show 15% NIC & £5k threshold?
Which clients will breach the new threshold for the first time?
Do NMW rises push any salary-sacrifice cases below the floor?

CGT / deferred tax

Have we updated calc sheets to 18% / 24%
Which open disposals or valuations rely on old rates?

Non-dom & IHT advisory

Can we identify clients in the 4-year FIG window vs long-stay residents?
Do trust files show loss of protection?

FHL rule changes

Which clients claim FHL relief today?
Have we modelled yields under standard rules?

MTD expansion

How many landlords / sole traders exceed £30k?

Vehicle benefit shifts

Any post 6 April pick-ups in bookkeeping queue?
Do EV fleet clients know BiK climbs after 2025/26?

Quick Client Update 🤝

Payroll costs are rising – Employer NIC is 15% from £5 000; we’ve updated your payroll and can walk you through the numbers.
Capital gains just got pricier – Rates now 18% / 24%; let’s time or phase any asset sales.
New rules for international clients – The remittance basis is gone; you may have four tax-free years (FIG) before full UK tax and IHT kick in. Let’s map it out and look at the dividends schedule.
Holiday-let perks have ended – FHL income is now taxed like any rental. Let’s look at the maths to compare and see if you should sell, keep, or long-let options.
Electric cars still shine – Benefit-in-kind is just 3% this year and will climb to 4% after 2025/26; ordering now locks in savings.
Digital records are coming – Landlords and sole traders over £30k will file quarterly under MTD; we’ll handle the tech so you stay penalty-free.

Send these six points (in your own words) to every affected client to add value following these updates from April.

Free Resources to Make Monday Easier 📥

1 – Client Update Email Template

Make sure you’re clients are updated and have piece of mind with this quick to use template:

2 – Six Point Monday Checklist

Ready to be dropped into your next team meeting so that you’re firm can get back to focusing on clients:

Keep Your Firm Growing!

Make sure you’re on the right track and spending you’re teams valuable time where it matters most… on your clients! Check out other parts of our website to get some more value for your firm and feel free to book a call if you ever have any questions.

If you have any questions about these updates or need help with a specific client just book a meeting with one of our growth experts