Did you know there’s a tax benefit in using Spark?

We all know mental health is a serious subject. We also know that for many people, the work environment, be it on-premise or remote, consumes the greatest amount of time every week. For this reason, may employers are taking workplace mental health very seriously.

Organisations who have implemented Spark in the workplace see the benefits almost immediately. From the self-help mental health app for employees, to the unique insights and recommendations for employers, it’s literally a win-win situation for everyone.

What you may not know, however, is that there’s also a tax benefit if your organisation subscribes to Spark. Essentially, the subscription cost can be deducted against revenue, before it hits the profit and loss workings.

For example, if your company revenue is £110,000 and the Spark subscription costs £10,000, the company would declare revenue of £100,000 and therefore have a reduction in the total taxable amount due. A better explanation can be found here.

Spark is therefore a very cost-effective way to help improve mental health in the workplace. Whilst we’ll discuss the specific benefits in future posts, below is a summary of some of the benefits to both employee and employer.

Benefits for employees:

• Improved well-being and productivity: Happy and healthy employees are more engaged, productive, and take fewer sick days. By addressing mental health concerns, companies can create a supportive environment where employees thrive.
• Reduced presenteeism: Presenteeism, where employees show up to work while unwell, can be detrimental to both their health and performance. Investing in mental health helps employees seek support before reaching this point.
• Enhanced creativity and innovation: A mentally healthy workforce fosters a culture of openness and collaboration, leading to increased creativity and problem-solving abilities.
• Improved relationships and teamwork: When employees feel supported and valued, they tend to build stronger relationships with colleagues, leading to better teamwork and communication.
• Reduced stigma surrounding mental health: By actively promoting mental health initiatives, companies can help break down the stigma surrounding it and encourage employees to seek help when needed.

Benefits for the company:

• Reduced costs: Investing in mental health can lead to significant cost savings in the long run, through reduced absenteeism, presenteeism, and staff turnover.
• Improved talent attraction and retention: Companies that prioritize mental well-being are seen as more attractive employers, making it easier to attract and retain top talent.
• Enhanced brand reputation: Demonstrating a commitment to employee well-being can boost a company’s brand reputation and attract more customers and investors.
• Increased compliance with regulations: UK companies have a legal duty to care for the health and safety of their employees, including their mental well-being. Investing in mental health helps companies comply with these regulations.
• Greater resilience and adaptability: Companies with a mentally healthy workforce are better equipped to handle challenges and adapt to change.
• So, it really is a no brainer. We do however advise organisations seek advice from a qualified accountant as tax rules and regulations are prone to change. You can also keep up-to-date directly from the HMRC website here.

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