Optimising director PAYE in 2025 – navigating national insurance changes for limited companies: by Theresa Waddingham, partner at Streets Chartered Accountants
Theresa Waddingham, partner at Streets Chartered Accountants, helps navigate changes to national insurance.
Following the changes to the employer national insurance contributions, some concerns have been raised over the optimum amount a director should receive through PAYE on their Limited Company.
For employee national insurance, the allowance is £12,570 per annum before any Class 1 employee national insurance becomes payable.
The lower earnings limit which ensures that you receive a qualifying year for state pension and goes towards receipt of certain state benefits is £6,500 per annum.
This means that earnings taken through PAYE between £6,500 and £12,570 will not incur any employee deductions.
I am sure you are now thinking what about employer national insurance?
From April 2025 the government lowered the level at which employer national insurance is applied to £5,000. Anything processed in excess of that becomes payable at 15%. Why pay it you may ask? You may not have to.
The government also removed some of the restrictions on claiming employment allowance. If you have a payroll with two or more directors/employees earning above £5,000, providing it is a qualifying entity, the £10,500 per annum allowance can be claimed.
This allowance offsets the employer national insurance that subsequently becomes due on the amount over £5,000. It therefore makes sense to process the maximum £12,570 per annum to obtain the qualifying year and the access to certain state benefits.
A word of caution; one director on your payroll with no other employees means that you cannot claim employment allowance. In order to obtain your qualifying year for state pension you will need to pay employer national insurance. Please see the link below on how to make the payment:
https://www.gov.uk/pay-paye-tax
You may note that there is no mention of tax. Do be aware of your tax code as that may influence your decision, as could corporation tax. For these areas please do consult one of our tax specialists for the optimum solution for your personal circumstances. Please feel free to get in touch by emailing info@streets.uk or calling your local office.
See this column in the May issue of East Midlands Business Link Magazine here.
Nine startups selected to drive NHS digital innovation in Midlands
Health Innovation East Midlands and Health Innovation West Midlands have jointly launched the first cohort of Grow Digital Health Midlands, a programme aimed at scaling digital innovation across the NHS. Nine early-stage health tech companies have been selected from a pool of 51 applicants to receive targeted support to speed up digital tool adoption within healthcare settings.
The selected companies will gain access to coaching, product development advice, and introductions to NHS and care system leaders across the Midlands. The region’s 11 Integrated Care Systems cover nearly 12 million people, making it the largest NHS region in England. The initiative is expected to provide startups with a unique opportunity to engage directly with health service providers and demonstrate value at scale.
The chosen firms are tackling a range of NHS priorities. One company is developing a platform to automate care coordination for patients with multiple long-term conditions, aiming to reduce administrative burden and increase appointment efficiency. Another offers a digital self-management programme designed to improve health literacy and reduce demand on clinicians.
Other innovations include an email triage tool that helps clinicians identify urgent messages, a platform that connects GPs with community pharmacies to streamline referrals and appointments, and a system for remote pre-operative assessment that supports clinical decision-making and reduces waiting lists.
Further selected solutions involve real-time transcription of medical consultations to cut down clinician admin, a virtual clinic platform to support long-term condition management, and a tool that gathers personalised data from hypertensive patients to inform prescribing decisions in line with NICE guidelines.
The programme reflects a broader NHS priority to reduce hospital dependency and boost productivity through proven, scalable digital solutions. The first Grow Digital Health Midlands cohort will run through 2025.
New cargo carriers expand East Midlands Airport’s role in UK freight logistics
East Midlands Airport (EMA) is expanding its position as a key UK freight hub. Several international cargo carriers have arrived, and new direct routes to China and the United States have been established.
US-based Atlas Air has launched scheduled cargo flights into EMA, operating five times weekly during the summer using Boeing 747 aircraft. These flights support trans-Pacific trade by linking the UK with China via the US.
In addition, Ethiopian Cargo has introduced a twice-weekly service to China from EMA, while Chinese carrier Central Airlines has commenced operations on behalf of cross-border logistics provider YunExpress. YunExpress has indicated plans to establish long-term UK operations outside the airport.
These developments follow a broader trend of logistics providers seeking alternatives to congested southern UK airports. EMA’s central location, strong road connectivity, and permissive night flying policies attract operators aiming to streamline supply chains and ensure faster turnaround times.
£10m regeneration scheme to breathe new life into Derby’s St James Street
A £10 million regeneration project has been unveiled, breathing new life into the heart of Derby city centre.
Developer St James Street (Derby) Ltd, working in partnership with Derby City Council, has launched ambitious plans to restore, regenerate and revitalise more than a dozen properties on St James Street, one of the city’s most historically significant but underused areas.
The developer acquired the properties from Clowes Developments in summer 2024, supported by Derby City Council and the Government’s Future High Streets Fund (FHSF).
The properties comprise a mix of long-term vacant ground floor shops and extensive redundant upper floor spaces.
Marc and Rebecca Brough, owners of the development company, recently acquired Allestree Hall from Derby City Council and are also founders of Cubo, the flex office company.
St James Street has long been considered an ‘at risk’ street, with vacancy rates consistently exceeding 50%. However, with the opening of the city’s brand-new live entertainment venue, Vaillant Live, and the restored Derby Market Hall, the street is set to gain enhanced visibility and footfall.
Beginning with the transformation of The Tramshed, a disused historic warehouse space, into Grade A office space, the scheme aims to completely overhaul ground-floor retail units and repurpose extensive, unused upper floors.
A planning application is now ready to be submitted to create 29 apartments on the upper floors of the properties, stretching from The Strand to the end of St James Street, as well as new shopfronts on the vacant ground floor units.
Future phases include plans to rejuvenate St James’s Yard and reinstate the pedestrian link from Sadler Gate through to St James Street.
Rigby & Co acted on behalf of St James Street (Derby) Ltd to acquire the site from Clowes Developments.
Marc Brough said: “We opened the first Cubo flexible office space at the corner of St James Street in 2020 and it has saddened me to see how this once-thriving street has become so run down and neglected since then.
“As a company we are committed to breathing new life into these buildings – bringing long term vacant buildings back into economic use, driving higher footfall and vibrancy and creating a vibrant environment that will benefit businesses, residents and visitors.
“We could not have embarked on this journey without the unwavering support from Derby City Council and their extended team and partners who have played a key role in helping bring our vision to life through the Future High Streets Fund.”
Councillor Nadine Peatfield, leader of Derby City Council and cabinet member for city centre, regeneration, strategy and policy, said: “We were thrilled to partner with St James Street (Derby) Ltd on this project to revitalise this key area of our city centre. The team have made rapid progress and we’re looking forward to seeing the first phase of the scheme come to life.
“Working closely with our partners, we’ve been able to make great progress in revitalising areas of our city centre. St James Street is a prime example of how, by collaborating with private sector partners, we can bring our vision for a vibrant city centre to life.”
Commercial property and regeneration specialists Rigby & Co acted for St James Street (Derby) Ltd in acquiring the properties from Clowes Developments.
Russell Rigby, managing director of Rigby & Co, said: “This is a massive shot in the arm for Derby city centre – the scheme needs vision, pace, experience and a ‘can-do’ attitude to overcome a number of barriers which have previously held this street back from releasing its full potential.”
A grant of £2m has been made to the scheme by Derby City Council with funding from the Government’s Future High Streets Fund (FHSF).
Building materials sector mobilises to support UK housing targets
The building materials industry, with a focus on regions like Northampton, is advancing a national recruitment campaign to tackle skills shortages and support the UK Government’s housing ambitions.
The Builders Merchants Federation (BMF) is spearheading the Building Materials Careers initiative (bmcareers.com), which seeks to attract new talent, including career changers and military veterans, into a sector valued at £51 billion. The campaign, launched earlier this year, is part of a broader workforce development strategy tied to the government’s goal of delivering 1.5 million new homes.
The programme builds on the success of the BMF’s Apprenticeship Pledge, which met its target of 15,000 apprenticeships five years ahead of the original 2030 deadline. It now shifts focus to increasing awareness of career opportunities across manufacturing, supply, and merchant operations, areas critical to construction site productivity and innovation.
The online platform features job listings and personal accounts from professionals already in the sector. Participating businesses, including major suppliers and distributors like STARK Building Materials UK Ltd, have aligned their hiring efforts with the campaign to future-proof their workforces.
This industry-led effort is viewed as vital to the infrastructure needed to scale up materials production and distribution, essential for meeting rising demand from housebuilding projects across the UK. The initiative also complements broader government and private sector moves to build a more resilient and inclusive construction supply chain.
Plans for two new housing estates under review in Fleckney
Harborough District Council is reviewing proposals for two large-scale residential developments on the northern edge of Fleckney, which could bring 340 new homes to the village.
One application, submitted by David Wilson Homes, outlines a plan to build 170 residential units on a 7.5-hectare site currently used as farmland. The land lies off Long Grey and Garner Way. According to the submitted documentation, 40% of the homes would be designated affordable housing. The proposal also includes green space and allotments.
A separate application has been lodged for 170 homes on an adjacent field off Leicester Road. Planning officers are currently considering both developments, and decisions are expected later in the year.
Leicestershire aerial survey firm, Bluesky International snapped up
Woolpert has acquired Leicestershire-based Bluesky International, the aerial survey firm.
Bluesky is headquartered in Ashby-de-la-Zouch and has over 130 staff across the UK, Ireland, the United States, and India. The private, multidisciplinary geospatial solutions firm specialises in aerial imaging, lidar, 3D modeling, vegetation, and renewables mapping.
Woolpert is a global provider of geospatial services, collecting and processing imagery and lidar data from mountaintops to the seafloor. With the addition of Bluesky’s fleet of aircraft and sensors, capabilities, and innovative data products, Woolpert further expands its position across North America, Europe, Africa, and the Asia-Pacific.
“Bluesky was an obvious choice to join the Woolpert family of companies, not just for its dedication to geospatial excellence, but also for its commitment to client satisfaction and workplace culture,” Woolpert president and CEO Neil Churman said.
“With the addition of Bluesky to Woolpert’s trans-Atlantic team, together, we’ll be able to offer clients across Europe and North America a truly comprehensive set of geospatial services and products. We are beyond thrilled to embark upon the new opportunities that Bluesky and Woolpert will bring to each other and to our clients.”
Bluesky CEO Rachel Tidmarsh said: “We’re looking forward to being part of a firm that shares our passion and excitement about geospatial data and analysis, and creating an impact for our clients and communities.
“Woolpert’s extensive expertise in all things geospatial, as well as the addition of their architecture and engineering services, opens up a new realm of possibilities for our clients. We couldn’t be more excited about the ability to service our clients as a truly one-stop shop with this world-leading geospatial team.”
Howes Percival advised Bluesky International and its shareholders on all aspects of the deal. Corporate partner Gareth John said: “This was a fantastic transaction to be involved with. It highlights the quality of the businesses we have in this region and demonstrates our growing credentials on complex deals. We wish everyone at Bluesky the very best for the future.”
Duo of Nottingham brownfield sites sold for residential development
Godwin Developments has sold two brownfield sites in North Nottingham to Nottingham Community Housing Association (NCHA), working in conjunction with Owl Partnerships as contractor.
The deal allows for the imminent start of construction on 102 affordable homes in the city.
Set in the Bulwell area, the combined five-acre sites have been vacant for 15 years and hold detailed residential planning consent secured by Godwin. The developments will deliver two- and three-bedroom homes, including shared ownership and social rent affordable tenures, across the two adjacent locations.
The Maple Fields scheme, on the grounds of the former Henry Mellish School on Kersall Drive, will provide 45 new homes, while the Crescent, on the former Piccadilly Playing Field, will deliver 57 homes.
Godwin’s director of partnerships, Tim Hart said: “We are pleased to have completed the sale of these well-located sites to NCHA and would like to thank them for their commitment and professionalism throughout the process.
“This development will deliver 102 high-quality affordable homes at a time of acute housing need in Nottingham and across the UK. We look forward to seeing these much-needed properties built and occupied.”
Fran Cropper, new business and development manager at NCHA, said: “We’re really pleased to be working with Nottingham City Council again on this important scheme with social value. This development reflects our commitment to building homes that are both affordable and environmentally friendly, in line with our sustainability targets.
“With rising energy costs, these homes will provide residents with lower living expenses and a reduced carbon footprint. We’re proud to bring this new housing scheme to Nottingham, addressing local housing needs while paving the way for a sustainable future.”
Warren Bolton, managing director at Owl Partnerships, said: “It’s been a fantastic experience to work alongside Godwin and NCHA to bring these developments to life.
“Partnerships are built off the back of hard work, dedication and collaboration and that’s exactly what this venture needed and that’s exactly what it got. Development can be made difficult but with good people and a partners mentality, we can do anything. Congratulations and well done to the whole team involved.”
Advisors on the transaction included solicitors Field Fisher and Browne Jacobson and affordable housing specialists Redbrick Housing Consultancy.
Cronofy secures £15m investment to supercharge growth
Cronofy, a Nottingham-based provider of embedded scheduling infrastructure, has secured a £15 million investment from BGF, one of the UK and Ireland’s most active growth capital investors.
The funding will support Cronofy’s ongoing expansion and product development as it continues to streamline complex scheduling processes for businesses globally.
Founded in Nottingham, Cronofy enables real-time, secure scheduling through its integrated platform, which is used by over 180,000 organisations worldwide. The company’s technology is embedded into business workflows and applications, powering scheduling functionality across sectors including recruitment, healthcare, and professional services.
The platform was created by experienced engineers, Adam Bird and Garry Shutler, who recognised that a new architectural approach was needed to unlock embedded scheduling at scale whilst natively respecting security and privacy.
Cronofy’s technology has been adopted by major brands such as Indeed, Houzz and Docplanner. Among its global customer base, fintech business Wise has reduced its interview scheduling time from six days to 90 minutes using Cronofy’s platform integrations.
The fast growth business will use the funding to enhance its core product offering, expand into new use cases, and accelerate its growth in international markets, particularly in the US where it currently generates over 60% of its revenue.
The investment also provides a partial exit for Cronofy’s seed-stage investors, who have supported the company since its inception in 2016.
Adam Bird, CEO and co-founder of Cronofy, said: “We were seeking a partner to support the next stage of our growth journey, and BGF offers the experience, flexibility and scale to help us achieve our goals.
“Scheduling is a critical but often overlooked business function, and our mission is to simplify it in a secure and privacy-first way for organisations worldwide. We’ve spent the last decade building a platform that integrates seamlessly into the systems our customers already use, saving them time and improving efficiency.
“With this investment, we’re poised to accelerate our impact across even more industries and geographies.”
Seb Saywood, partner at BGF, added: “Cronofy is a stand-out tech success story that has achieved global recognition in its vertical for having the most reliable embedded scheduling infrastructure.
“Its ROI for a range of different customer types and size, including enterprise, is compelling. It has a customer centric, product first growth strategy that has already generated 60% of its sales from the more mature US market.
“We look forward to partnering with this impressive management team who have a proven track record in solving problems for customers and scaling tech businesses.”
Advisers to Cronofy on the transaction included Shakespeare Martineau (Duncan James, Renee Freeman, Roger Harcourt) and RSM (Martin Brown).
Advisers to BGF on the transaction included Browne Jacobson (Mark Hughes, Matt Bolton, Ka Man Shing), Cooper Parry (Sara Thompson, Jack Mcfarlane, Lauren Nutty), Alvarez & Marsal (Ian Birch, Joe Stevenson), RP Advisory (Suzy Smith, Aries Shomalistos) and Scalewise (Tom Glason, Munya Hoto).
Nottingham CEO gets ready to raise £10,000 for Duchenne Dash 2025
The CEO at Nottingham-headquartered Blinds 2go is cycling 300km in 24-hours in a bid to raise an impressive £10,000 for charity.
Nick Thomas will be among 160 riders participating in Duchenne UK’s challenging annual cycling event, the Duchenne Dash, covering the 300km distance from London to Paris in under 24-hours to raise a collective £1 million.
Duchenne UK is at the forefront of funding world-class research and care for those affected by Duchenne muscular dystrophy (DMD), a progressive condition primarily affecting young boys which causes progressive muscle degeneration and weakness.
Nick said: “DMD is a devastating condition which around 100 boys are born with each year. There is currently no cure, but the research Duchenne UK invest in is dramatically helping to advance treatments for those living with the disease – there are currently more than 500 boys participating in clinical trials which simply didn’t exist a decade ago.”
This is Nick’s seventh time competing in the Duchenne Dash, and his colleagues at Blinds 2go are supporting Nick to achieve his fundraising target by 17th May through completing an in-house cycling challenge, in which Blinds 2go will donate £1 for each kilometre the team complete, donating £500 if they achieve the full 300km. Blinds 2go are also a lead sponsor for the event.
Nick continued: “I’m honoured to be taking part in such a meaningful event. Last year was a challenge, starting with a 100km ride down to the south coast, then an uncomfortable overnight ferry crossing to the final 200km to Paris, but it was also an incredibly rewarding day and an emotional experience to ride alongside the loved ones of those coping with the challenges of DMD on a daily basis.
“This is my 7th Duchenne Dash, so I can talk from some experience – and I’m doing it because, in my view, Duchenne UK is a hugely deserving charity. The money we help raise will make such a difference and I’m grateful to everyone for their support!”
To support Nick, visit www.justgiving.com/team/nick-and-barts-duchenne-dash-2025
