Inland Revenue 43
                                                  17 March 1998
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     HELP FOR NEW EMPLOYERS TO REDUCE COSTS AND CREATE JOBS

Small businesses taking on their first employees are to get
help to reduce  costs and cut back on complicated red tape,
the Chancellor announced today. 

A new service - from the Inland Revenue and Contributions
Agency - will  provide one-to-one help for new employers
getting to grips with tax,  National Insurance and benefits. 
The service will reduce one of the major  barriers to setting
up and running a business, making it easier and  cheaper for
small businesses to take on their first employee. 

Currently running as a pilot scheme in Leicester, the service
will be  offered in more areas during the coming year and go
nationwide from April  1999. New employers will be consulted
to ensure the service meets their  particular needs.


NOTES  FOR EDITORS

1.  The aim of the scheme in Leicester is to find out how best
to tackle the  problem for new employers of getting to grips
for the first time with tax  and National Insurance systems. 
The service includes rapid response  tailor-made help with the
employer's first pay-day, and one-to-one  assistance with a
wide range of other subjects such as Statutory Sick Pay, 
Statutory Maternity Pay, and expenses and benefits in kind
provided to  employees.

2.  The Inland Revenue and Contributions Agency have been
working together  in Leicester for more than three years
giving practical help and guidance to  local employers. 
During that time they have developed a range of services  and
this one - for new employers who do not have professional
assistance -  builds on their experience. 


INLAND REVENUE PRESS OFFICE

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