Fire Services Receive Half the Support Given to Police to Cover Tax Hike Costs
April 18, 2025 — Fire and rescue services across England are grappling with a significant funding shortfall after the UK government opted to cover only half the cost of their National Insurance (Nics) increases—while offering full compensation to police forces.
The government’s move, part of a broader adjustment following Chancellor Rachel Reeves’ Budget, raised the employers’ Nics rate from 13.8% to 15%. While police departments received an additional £230 million to fully absorb the increase, fire services were left with top-up grants that only cover about 50% of the added costs.
Funding Disparity Raises Concerns
The National Fire Chiefs Council (NFCC) estimates that fire authorities will face a £20 million gap, with only £20 million of the £40 million total cost being addressed by current grants.
“We reasonably expected to be treated the same as police,” said NFCC Chair Phil Garrigan. “This funding gap directly impacts community safety and sustainability.”
The Fire Brigades Union echoed this concern, warning that ongoing underfunding would worsen service delivery and morale. General Secretary Steve Wright said the Nics burden comes on top of more than a decade of cuts and below-inflation budget settlements.
“For a fraction of what the police received, fire services are being forced into another round of silent budget erosion,” Wright noted.
Research Confirms 50% Average Shortfall
According to a BBC investigation, grants provided to 31 directly-funded fire authorities cover only half of what’s needed, on average. Some of the worst-hit include:
- West Yorkshire Fire Service – 67% shortfall
- Humberside – 60% shortfall
- Essex – 17% shortfall
- Cumbria – 32% shortfall
In Greater Manchester, budget documents estimate a 50% gap, equivalent to the operating cost of one fully-staffed fire engine.
Government Response and Complexity in Distribution
While the Ministry of Housing, Communities and Local Government declined to explain the unequal funding, it did thank firefighters for their commitment. The Treasury has promised to cover public sector costs but did not specify why fire services received only partial coverage.
Part of the challenge lies in the complex funding structures of fire authorities. In regions like London and Greater Manchester, where fire services are managed under mayoral offices, Nics funding is blended into broader council allocations—making precise calculations difficult.
Fire Services Call for Fairness and Urgency
Fire chiefs are calling on the government to reassess its funding model and deliver full compensation to ensure fire services remain operational and responsive. They argue that when lives and property are on the line, public safety funding should not be treated as negotiable.
“Firefighters deserve equal recognition and financial backing,” said one local fire chief. “Anything less puts communities at risk.”
Conclusion: Fire Services Sound the Alarm on Budget Inequality
With critical staffing and equipment potentially at stake, the government is under increasing pressure to rectify the funding imbalance and treat all emergency services with parity. As fire services brace for more financial strain, the question remains: will Westminster step in before the damage becomes irreversible?
