As businesses continue to adapt to the evolving landscape of employment, many are turning to umbrella companies as a solution to streamline processes and manage their workforce efficiently. The HMRC publication dated 30/11/2023 sheds light on the responsibilities that businesses need to be aware of when engaging with umbrella companies. In this blog post, we will explore key insights from the publication and provide guidance for businesses to ensure compliance and successful … [Read more...]
Tackling Non-Compliance in the Umbrella Market
In 2018, the government committed to regulating umbrella companies following the Good Work Plan. In 2021 HM Treasury, HMRC and the Department for Business & Trade called for evidence on the policy options to regulate and tackle non-compliance in both tax and employment rights by umbrella companies.Umbrella companies play a big role in the temporary/contract supply chain providing their workers with employment rights and deducting the appropriate tax and national insurance contributions. … [Read more...]
EU settlement scheme update
From September 2023 people with pre-settled status under the EU settlement scheme (EUSS) will automatically have their status extended by 2 years before it expires if they have not obtained settled status.The process will be automated by the Home Office and reflected in the person’s digital status, who will then be notified of the extension directly. This will ensure that no one loses their immigration status if they do not apply to switch from Pre-Settled to Settled status.The Home … [Read more...]
Crackdown on National Living Wage and National Minimum Wage underpayments
The National Minimum Wage was introduced in 1999, and the National Living Wage in 2016. The NMW and NLW provide essential protection for lower paid workers, ensuring they are fairly paid for the work completed.The minimum wage sets the minimum hourly rate of pay that all employers are legally required to pay their workers, subject to their age and whether they are an apprentice.The Government is committed to taking robust enforcement action against employers who fail to pay staff … [Read more...]
Student Loan Plan 5, What You Need To Know
From September 2023 new students starting university or higher education will now be on a ‘plan 5’ loan system.This is the biggest change to student finance in England in a decade and will lead to many paying back double what they would have done on the old system.It is important to recognise that student loans are not like other loans. They come from the Government and give you more protection than loans that you have with a credit card or buying a home.You do not repay anything … [Read more...]
Biometric Permits and Cards
If you have been granted permission to enter or remain in the UK beyond the 31st December 2024, you may be wondering why your Biometric Residence Permit has an expiry date of the 31st December 2024?This is because from the 1st January 2025 the Home Office have confirmed they will be introducing BRP’s which incorporate encryption technology to meet EU requirements.The EU requirements on BRPs were lifted following the UK’s departure from the EU, were it was decided that BRPs will continue … [Read more...]
Working Time Regulations
The Law on working time sets rules for the maximum weekly working hours and how employees can work more hours if they choose, rest during the working day, week and year, young workers’ maximum working hours and rest breaks, night work, holiday entitlement and more. This is to protect everyone’s health, safety and wellbeing and applies to employees, workers, agency workers, apprentices, casual and seasonal workers and zero hours’ workers.Currently by law almost all employees over the age of … [Read more...]
The REC Backs Plan To Rectify Holiday Pay Unfairness
In 2022 The REC called for the government to consult on the fallout – not least because the ruling means part-year workers are entitled to a larger annual paid holiday entitlement than part-time workers who work the same number of hours across the year but work fewer hours each week consistently across the year. The ruling has caused anxiety and confusion among employers, workers, business representative groups.In a submission to the government, the REC backs the Department for Business and … [Read more...]
New Tax Year Updates
Tax Codes, Exemptions & Allowances.Tax codes will not be changing, if you are currently on a 1257L tax code, this will remain the same for 2023. This means you can earn up to £242 per week or £1,048 per month before paying tax.The national living wage, minimum wage and for those aged 23 and over will increase to £10.42 from £9.50 which is an annual increase of 0.92p.The National Insurance Threshold will remain at £242 per week or £1,048 per month.Please remember to advise us … [Read more...]
Budget 2023 – Key Points for Business
The Chancellor has this afternoon delivered his Spring Budget and there’s good news for the professional recruitment sector. The ‘back to work’ ethos underlying much of the Budget should be a boon to recruiters, as should investment and reliefs focused on key professional sectors, such as finance, life sciences, nuclear and AI.Here are some highlights and key points for businessTaxation and wagesCap on amount workers can accumulate in pensions savings over their lifetime before … [Read more...]