• Salary sacrifice National Insurance relief will be limited to the first £2,000 exchanged annually from April 2029, increasing employer and employee costs.
• Employers face the largest cost burden, potentially affecting hiring, investment and funding for pension contributions or other benefits.
• Options include absorbing costs, reducing pension contributions or improving benefit cost efficiency; phased changes could offset costs against future salary increases.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. XPS Pensions Group plc published the original content used to generate this news brief on October 27, 2026, and is solely responsible for the information contained therein.