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Gary Neville has criticised the government’s national insurance (NI) rise this year, saying it could deter companies from employing people and “probably could have been held back”.

The former Manchester United and England footballer-turned business owner, who vocally supported Labour at the last election, employs hundreds of people.

But he expressed his frustration at the recent hike on employers’ NI, which has significantly increased the taxes businesses have to pay for their employees.

Speaking to Sky News’ Business Live, Neville said: “I honestly don’t believe that, to be fair, companies and small businesses should be deterred from employing people. So, I think the national insurance rise was one that I feel probably could have been held back, particularly in terms of the way in which the economy was.”

While the Sky Sports pundit thought the minimum wage increase introduced at the same time was necessary to ensure that people are paid a fair wage and looked after, he made it clear the double whammy for businesses at the start of April would be a challenge for many companies big and small.

“I mean look it’s been a tough economy now for a good few years and I did think that once there was a change of government, and once there was some stability, that we would get something settling,” he said. “But it’s not settling locally in our country, but it is not settling actually, to be fair, in many places in the world either.

“I don’t think we can ever criticise the government for increasing the minimum wage. I honestly believe that people, to be fair, should be paid more so I don’t think that’s something that you can be critical of. I do think that the national insurance rise, though, was a challenge.”

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The industries hit hardest by national insurance hike
Survival guide: How to offset national insurance contributions hike

Neville’s business interests are diverse, spanning property development, hospitality, media, and sports.

He co-founded GG Hospitality, which owns Hotel Football and the Stock Exchange Hotel, and is involved in Relentless Developments, focusing on building projects in the North West. He is also a co-founder of Buzz 16, a production company, and a partner in The Consello Group, a financial services company.

The tax increase is expected to raise £25bn for the Treasury, with employers having to pay NI at 15% on salaries above £5,000, and up to 13.8% on salaries above £9,100.

The rise has already led the Bank of England to warn that it is contributing to a job market slowdown.

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NI and tariffs pile pressure on firms

Governor Andrew Bailey warned last month that “the labour market has been very tight in the past few years, but we are now seeing signs that conditions are easing, employment growth is subdued, and several indicators of labour demand and hiring intentions have softened”.

The government has defended the tax increase, announced by Rachel Reeves in last year’s budget and implemented in April, arguing that the money was needed to pay for public services like the NHS to help bring down waiting lists.

‘Can’t get any worse’ for Man Utd

Neville conceded that turning beleaguered football club Manchester United around could prove more difficult than trying to bring about substantial economic growth.

The side finished 15th last season – its worst performance in the history of the Premier League.

“Yeah, that could be a bigger challenge than the economy… I think the two signings are good signings yet, there’s a couple more needed,” Neville said of his former club’s fortunes.

“I think they need a goalkeeper. And I think if they fill those two positions with decent signings, then United can have a lot, I mean, they have to have a better season than last year. It can’t get any worse, really.”

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Man, 76, arrested on suspicion of administering poison at summer camp after eight children taken to hospital

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Man, 76, arrested on suspicion of administering poison at summer camp after eight children taken to hospital

A 76-year-old man has been arrested on suspicion of administering poison at a summer camp which led to eight children being taken to hospital, police said.

Police received reports of children feeling unwell at a summer camp in Canal Lane, Stathern, Leicestershire, on Monday.

Paramedics assessed eight children, who were taken to hospital as a precaution and have all now been discharged.

The suspect was arrested at the camp and remains in custody on suspicion of administering poison with intent to injure/aggrieve/annoy.

Detective Inspector Neil Holden said: “We understand the concern this incident will have caused to parents, guardians and the surrounding community.

“We are in contact with the parents and guardians of all children concerned.

“Please be reassured that we have several dedicated resources deployed and are working with partner agencies including children’s services to ensure full safeguarding is provided to the children involved.

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“We also remain at the scene to carry out enquiries into the circumstances of what has happened and to continue to provide advice and support in the area.

“This is a complex and sensitive investigation and we will continue to provide updates to both parents and guardians and the public as and when we can.”

The force said it has referred itself to the Independent Office for Police Conduct (IOPC) over what it said was the “circumstances of the initial police response”.

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‘No evidence’ malign activity caused Wednesday’s air traffic disruption, says transport secretary

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'No evidence' malign activity caused Wednesday's air traffic disruption, says transport secretary

There is no evidence that malign activity was responsible for yesterday’s outage of air traffic control systems, the transport secretary has said.

Heidi Alexander said she has spoken with the chief executive of National Air Traffic Service (NATS), Martin Rolfe, and added that what happened was an isolated incident.

NATS has apologised for the IT problems after thousands of passengers suffered extensive travel disruption during one of the busiest times of the year.

The technical glitch led to more than 150 flight cancellations, leaving airlines reacting furiously.

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Transport Secretary Heidi Alexander

Ms Alexander wrote on X: “I have spoken with NATS CEO Martin Rolfe who provided further detail on yesterday’s technical fault.

“This was an isolated event and there is no evidence of malign activity.

“I know that any disruption is frustrating for passengers.

“Flights are now resumed and I am grateful to airlines who are working hard to get people to where they need to be.

“I will continue to receive regular updates. Passengers should check with airlines before travelling.”

Read more: Flight delayed or cancelled? These are your rights

Officials said a “radar-related issue” caused the air traffic control failure.

A spokesperson for NATS said: “This was a radar-related issue which was resolved by quickly switching to the back-up system during which time we reduced traffic to ensure safety.

“There is no evidence that this was cyber related.”

The problem occurred at NATS’ control centre in Swanwick, Hampshire, and affected the vast majority of England and Wales.

Aviation analytics company Cirium said 84 departures and 71 arrivals were cancelled to or from UK airports up to 10pm on Wednesday, with several flights diverted to other European airports.

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Travel expert Paul Charles: This is a major outage

There was limited disruption on Thursday, with a handful of British Airways flights cancelled because aircraft and crew were out of position.

Heathrow and Gatwick airports said they had resumed normal operations.

Affected passengers are unlikely to be entitled to compensation as the disruption was outside of airlines’ control, but they will be able to claim expenses for a reasonable amount of food and drink, a means to communicate and overnight accommodation if required.

Martin Rolfe in 2023. Pic: PA
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Martin Rolfe in 2023. Pic: PA

Ryanair has called on Mr Rolfe to resign, claiming “no lessons have been learnt” since a similar systems outage in August 2023.

The airline’s chief operating officer Neal McMahon said: “It is outrageous that passengers are once again being hit with delays and disruption due to Martin Rolfe’s continued mismanagement of Nats.”

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‘No lessons have been learned’: Airlines furious after another technical glitch cancels flights

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'No lessons have been learned': Airlines furious after another technical glitch cancels flights

Airlines have reacted furiously after a technical glitch in air traffic control systems led to more than 150 flight cancellations.

The National Air Traffic Service (NATS) has apologised for the IT problems – and said systems were back up and running 20 minutes after the “radar-related issue” was detected at 4.05pm.

But with thousands of passengers suffering extensive travel disruption, during one of the busiest times of the year, airline executives have warned this isn’t good enough.

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Departures resume after ATC problem

Ryanair’s chief operating officer Neal McMahon has called for NATS chief executive Martin Rolfe to resign – and claimed Wednesday’s incident was “utterly unacceptable”.

He said: “It is outrageous that passengers are once again being hit with delays and disruption due to Martin Rolfe’s continued mismanagement of NATS.

“It is clear that no lessons have been learnt since the August 2023 NATS system outage, and passengers continue to suffer as a result of Martin Rolfe’s incompetence.”

Mr McMahon was referring to a glitch that affected more than 700,000 passengers two years ago – and said that, if Mr Rolfe refuses to step down, the government should intervene.

“Heidi Alexander must act without delay to remove Martin Rolfe and deliver urgent reform of NATS’ shambolic ATC service, so that airlines and passengers are no longer forced to endure these preventable delays caused by persistent NATS failures,” he added.

The Department for Transport says Ms Alexander does not have any direct control over NATS – and no powers over staffing decisions at the service.

Martin Rolfe in 2023. Pic: PA
Image:
Martin Rolfe in 2023. Pic: PA

EasyJet’s chief operating officer David Morgan added: “It’s extremely disappointing to see an ATC failure once again causing disruption to our customers at this busy and important time of year for travel.

“While our priority today is supporting our customers, we will want to understand from NATS what steps they are taking to ensure issues don’t continue.”

NATS is yet to comment on the calls for Mr Rolfe’s resignation – but has stressed that the glitch is not believed to be “cyber related”.

“This was a radar-related issue which was resolved by quickly switching to the back-up system during which time we reduced traffic to ensure safety,” a spokesperson had said.

Departures at airports across the country have now resumed – but passengers are being urged to check with their airline before heading to terminals.

Read more from Sky News:
Ozzy Osbourne gets final tour of Birmingham
US Federal Reserve defies calls to cut interest rates

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Travel expert: This is a major outage

John Carr, from Stourbridge, was on his way from Heathrow to Norway to help arrange his brother’s wedding when he discovered his flight was cancelled after checking in.

“I’m pretty gutted,” he said. “We’ve got loads of stuff in the suitcases to set up the venue, because we’re obviously flying to Norway. We’ve got the wedding rehearsal to do. It’s quite stressful.”

Liberal Democrat leader Sir Ed Davey called for an urgent investigation and also referred to the “utterly unacceptable” disruption two years earlier.

“With thousands of families preparing to go on a well-earned break, this just isn’t good enough. The public deserve to have full confidence in such a vital piece of national infrastructure.”

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Flights departing or arriving at a UK airport, or aircraft operated by a UK airline arriving in the EU, are subject to rules concerning delays or cancellations.

Airlines may have to provide compensation, although there are exemptions for “extraordinary circumstances”, according to the UK’s Civil Aviation Authority.

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