The 22nd July deadline for electronic payment of Class 1A National Insurance Contributions (NICs) is fast approaching. For many businesses across Northern Ireland, it is yet another date in an increasingly unforgiving financial calendar. These fiscal commitments can represent a significant outlay, particularly for small businesses already struggling with cash flow and mounting debt, writes Sinéad Campbell, Head of Money, Debt and Quality at Advice NI
At Advice NI, we regularly hear from business owners who feel overwhelmed by these kinds of obligations. The burden of tax and NICs doesn’t always fall at predictable or convenient points in the year – it can hit just as businesses are emerging from quiet trading periods or grappling with unforeseen expenses. For instance, many firms, especially in service sectors like hospitality, felt the squeeze following the January Self-Assessment deadline. January is always a quieter month for trading after Christmas, and receiving a sizeable tax bill during this time can cause real anxiety. It’s easy to say businesses should plan for this – but when cashflow is under pressure it’s often the most urgent outlays that take precedence. We know from direct experience that many business owners feel like their finances are spiralling out of control.
Our advice is always to take a structured approach to managing debt. This starts by listing all financial obligations and separating them into priority and non-priority categories. Priority debts typically include tax, rent, business rates, utility bills, or any secured loans – anything where missed payments could lead to serious consequences such as court action, disconnection, or the loss of premises or assets. Non-priority debts, such as credit cards or unsecured lending, still need to be addressed but can carry less immediate risk. Being clear on which payments need to be addressed first can help business owners take the heat out of a stressful situation and start to plan more effectively.
It’s also vital to keep a close eye on end-of-month finances. Many businesses struggle with credit control tasks like managing invoices and chasing late payments. By improving internal systems and adopting habits to manage income and expenditure, businesses can prepare for pinch points before they happen. Introducing clear credit terms and invoicing promptly makes it easier to manage late or missed payments and supports cash flow.
If businesses expect to fall behind on payments, the most important thing you can do is to engage early. Contacting HMRC before a deadline passes can open the door to a Time to Pay arrangement. Our Business Debt Advisers can support this process, helping you understand your obligations, negotiate with creditors, and develop a plan to regain control. In some cases, we can act directly on your behalf to reduce pressure and give you space to recover.
Every business we support is different. Some callers simply need help with budgeting, while others are facing immediate threats, like a disconnection notice or court summons. No matter the situation, our service is always free, impartial, and confidential. The earlier you seek help, the more options we can offer. This isn’t just about surviving a single tax deadline – it’s about building resilience to cope with future challenges and giving business owners the tools to feel in control again.
In 2024/25, Advice NI’s debt advice service, supported by the Department for Communities, helped 131 businesses with a combined debt of £7.3 million. With a network of 65 member organisations and 300 advisers, the Independent Advice Network stands ready to support any business in need.
Whether you’re facing a looming tax deadline, behind on payments, or unsure where to turn, Advice NI is here to help. You don’t have to face these challenges alone.
For more information, visit www.adviceni.net or call 0800 915 4604.
