Laing O’Rourke Services Limited and Willmott Dixon Holdings Limited appealed against a First Tier Tribunal (FTT) decision that ruled they were not entitled to repayment of National Insurance contributions (NICs).

The two appeals were heard together as they raised similar issues about liability for Class 1 NICs on the payment of certain company car allowances to employees, with an accumulated total of £3,698,948 being claimed through repayments in NICs, split between a claim for £2.2m by Laing and £1.4m by Willmott Dixon.

Over a 10-year period from 2004, the two construction giants operated car allowance schemes, which allowed certain employees to have a company car based on their business needs.