Policy & Resources Cabinet Member – Minutes – 25 February 2013

46        (46) SALARY SACRIFICE FOR CARS SCHEME –The Director of Policy and Resources submitted a report which sought approval for the council’s scheme parameters in respect of the Salary Sacrifice 4 Cars (SS4C) scheme.

It was explained that as part of plans to mitigate reductions in business mileage rates, Human Resources (HR) officers entered into dialogue with Tusker Direct Ltd. the provider of the award winning SS4C scheme.

The report outlined that salary sacrifice arrangements involved an employee sacrificing an element of their pay before tax and national insurance (NI) contributions were taken, in return for a benefit, in this instance a new car. The employee would save tax and NI on the amount sacrificed and the council would save the NI on the sacrificed amount.

Following a European tender process Tusker were awarded a Pan Government Collaborative Framework Agreement with North Yorkshire County Council (NYCC) in early 2010.  It was explained that the Tusker scheme could therefore be introduced without the council spending time and money going out to tender.

Further details of the benefits of the scheme and also eligibility were outlined within the report.

Resolved – (a) That subject to final endorsement of legal documentation, approval be given to enter the SS4C scheme on the basis of the recommended parameters; (b) that scheme entry be provided to all employees with the exception of those in the Teachers Pension Scheme and support staff in schools, and (c) that HR and payroll would assess any fixed-term/’at risk’ and National Minimum Wage implications prior to approval.