Post-16 National Insurance contributions (NICs) grant

This is information on the National Insurance contributions (NICs) grants for financial year 2025 to 2026.

This guidance is for: 

• maintained school and academy sixth forms 
• 16 to 19 academies 
• 16 to 19 schools   
• sixth-form colleges  
• general further education colleges  
• designated institutions (including the new designated institutions that form part of higher education provider group structures)  
• local authorities

We are making approximately £155 million available in financial year 2025 to 2026 to support institutions with the increase to employers’ National Insurance contributions arising from their post-16 education from April 2025.

Additional funding for pre-16 provision will be allocated through the National Insurance contributions (NICs) grant.

Funding for high needs settings is being allocated via the core schools budget grant (CSBG) 2025 to 2026.

Methodology 

WeThis expectdocument tosets publishout the full methodology for the grantpost-16 laterNICs ingrant. AprilThis 2025.includes guidance on how we will allocate funding for financial year 2025 to 2026 for eligible institutions. There are 3 components to the post-16 NICs grant: 

• 16 to 19  
• non 16 to 19 funded students and apprentices (in eligible settings)
• local authority centrally employed teachers (CETs) and centrally employed support staff 

Settings will only receive the components that apply to their situation. The components are based on the most current data DfE holds to calculate the share of the grant.  

Conditions of grant 

We expect to publish the conditions of grant in May 2025. 

Allocations and payment

We expect to publish allocations in May 2025 and pay the grant as a single payment in September 2025.