Hertfordshire Police and Crime Commissioner fears Labour Budget measure will hit force funding

Hertfordshire’s Conservative Police and Crime Commissioner (PCC) Jonathan Ash-Edwards is concerned the county’s force could be “short-changed” by Labour’s Budget.

In the Autumn Statement, Chancellor Rachel Reeve announced that from April employers will have to pay National Insurance (NI) contributions at 15% on salaries above £5,000 instead of 13.8% on wages above £9,100.

The changes are set to cost the Hertfordshire policing budget £4.4m next financial year (2025-26) on top of other financial pressures facing the constabulary.

Home Secretary Yvette Cooper has told PCCs and chief constables that policing will be compensated for the changes. However, there are concerns that forces like Hertfordshire will still lose out when this is calculated.

Mr Ash-Edwards and other PCCs had previously written to ministers about the implications of the decision. They say the funding formula for policing is outdated and counties like Hertfordshire will not be fully reimbursed for the actual costs incurred.

There is already a £1.09m shortfall in the funding provided by the Home Office to Hertfordshire to meet the costs of the 2024 police pay award.

Mr Ash-Edwards said: “The Home Secretary’s announcement of compensation for policing over the Government’s increases in employer NI is welcome but I’m concerned it will still leave Hertfordshire short-changed.

“This will result in further pressure on the policing budget at a time when we need to ensure the police have the resources they need to fight crime and keep Hertfordshire safe.

“I recently wrote to the policing minister, calling for the full cash impact of the Chancellor’s decision to be reimbursed to Hertfordshire, rather than using the out-of-date funding formula.

“I hope the Government heed this call so these costs don’t fall on local taxpayers or reduce the resources available to the police next year.”

In Bishop’s Stortford in the current 2024-25 financial year, the typical band D household pays £2,200.66 for services provided by the county, district and town councils and by Hertfordshire Constabulary.

Of this, £251 (11.4% of the overall bill) goes to the Herts PCC for policing. The band D property bill for policing has risen by £86.91 (53%) from £164.09 in the six years since 2018-19.

Labour estimates the NI rise for employers will raise £20 billion a year to fund public services.