Articles and information in relation to UK Payroll for business, employers and employees.
More than £59,000 recovered in unpaid wages following action by the Fair Work Agency Five workers received a combined reimbursement of more than £59,000 in unpaid wages following action by the Fair Work Agency (FWA). The payment came following a complaint by the workers to our Employment Agency Compliance (EAC) team that they had not … Continue reading Recovery of £59,000 for five IT Agency Workers
Around £4 million has been repaid to 27,000 workers. Latest list of employers who have underpaid workers revealed as Government hands enforcement powers to new dedicated body. 658 employers named for failing to pay staff the National Minimum Wage, with £4 million returned directly to workers. Thousands of workers given more room to breathe as … Continue reading 658 employers shamed for illegally “Short-changing staff”
Millions filed their Self Assessment tax return for the 2024 to 2025 tax year by the deadline. 97.25% of tax returns were filed online. 11.48 million people filed their Self Assessment tax returns by 31st January 2026. Anyone who missed the deadline should file their return and pay any tax owed as soon as possible. … Continue reading 11.48 million beat the Self Assessment deadline
The National Minimum Wage (NMW) audit teams from HM Revenue and Customs (HMRC) have caught and fined another 491 employers across the United Kingdom for underpaying their workers for a variety of reasons. Some are well known household brands. Large numbers of employers are struggling to understand their obligations to their workforces to pay them … Continue reading Where are October 2025 shamed employer minimum pay breaches happening?
£6 million repaid to workers as Government cracks down on employers underpaying their staff Nearly 500 employers fined over £10 million for failing to pay the National Minimum Wage. £6 million put back into the pockets of working people as Government delivers the biggest overhaul of workers’ rights in a generation, as part of its … Continue reading Another 491 employers fined £10million+ for National Minimum Wage breach
Illegal workers arrested in nationwide enforcement surge Hundreds of arrests have been made across the UK following a week-long crackdown on riders working illegally for delivery firms. Operation Equalize Under Operation Equalize, the Home Office’s Immigration Enforcement teams launched a nationwide intensification week of activity targeting illegal working hotspots, with a focus on the gig … Continue reading Illegal delivery riders shut down
HM Revenue and Customs (HMRC) have confirmed the intention Payroll Service providers to be registered along with other Tax Advisers from 1st April 2026 New requirements are being introduced for all tax advisers to register with HMRC and meet minimum standards. So who are tax advisers According to the UK government, Tax advisers are those … Continue reading Payroll Service providers to be registered from April 2026
The Department of Business and Trade (DBT) has indicated that the largest reason for the May 2025 named employers breaching National Minimum Wage regulations was because of pay deductions. Paying National Minimum Wage is not about an employees original hourly rate, but about the rate actually received for all working time. Minister for Employment Rights, … Continue reading Deductions remain a common cause of minimum pay breach
The Bank of England Monetary Policy Committee announced on 8th May 2025 to reduce the Bank of England base rate to 4.25% from 4.50%. The HMRC interest rates are linked to the Bank of England base rate. As a consequence of the change in the base rate, HMRC interest rates for late payment and repayment will also reduce. … Continue reading HMRC late payment interest rates revised following the Bank of England rate cut
The latest statistics for Insolvency Service enforcement outcomes… outline Covid loan abuse and bankruptcy restriction orders. More than 1,000 directors disqualified following Insolvency Service investigations. Of these, 736 were banned for Covid loan abuse. The report also highlights the average length of a ban was eight years. The Insolvency Service enforcement outcomes report for … Continue reading More than 1,000 directors disqualified in 2024-2025
As part of announcements in the Spring Statement 2025, the government have launched a further consultation seeking views on whether HM Revenue and Customs (HMRC) powers are effective in dealing with non-compliance facilitated by some tax advisers. It will be of particular interest to tax advisers, their clients or potential clients and tax and accountancy professional … Continue reading Tackling tax advisers facilitating non-compliance
Next up is the short update from Jenni Morris on National Minimum Wage. Increasingly employers are falling foul of NMW compliance with limited understanding of complex obligations. NMW is not about the pay rate, it’s about the rate of pay received. She went on to describe the risk areas and how salaried workers can be … Continue reading Minimum Wage – CIPP South Live
As part of the October 2024 Employer Bulletin, the HMRC has reminded employers of the impacts that salary sacrifice (salary exchange, smart schemes, flex benefits) have in relation to National MinimumWage regulations. Being compliant with minimum wage law is not about the starting rate of pay, but about the rate received across all working hours … Continue reading How salary sacrifice affects National Minimum Wage
The Department for Business and Trade (DBT) have published the enforcement results of National Minimum Wage (NMW) and the National Living Wage (NLW) during the 2022 to 2023 financial year The significant increases to the NMW and NLW in recent years mean a growing proportion of workers are earning within a narrow range of the NMW/NLW rates. Due to the rising … Continue reading Minimum pay enforcement results
The Home Secretary, Yvette Cooper, announced last month that the government would crack down on unscrupulous employers who are hiring migrants illegally and exploiting vulnerable people, alongside extensive work to disrupt the criminal networks who bring the workers to the UK. During an intensive week of action from Sunday 18th to Saturday 24th August 2024, … Continue reading Rogue employers targeted in illegal working crackdown
Lees of Scotland are another retailer caught out by the complex National Minimum Wage regulations and their efforts to help employees via a salary deduction savings scheme which they operated for over 30 years. Well known for their manufacture of teacakes, snowballs and macaroons, Lees operated a savings scheme where its workers voluntarily paid contributions … Continue reading Minimum wage and the Payroll Savings scheme dilemma!
HMRC have issued information on employment related securities as part of the July 2024 employer bulletin. Employment Related Securities (ERS) Gifts and awards of shares in employer companies, often known as employment related securities (ERS), are commonly used by employers to reward, retain, or provide incentives to employees. Where an employer operates an ERS scheme they should … Continue reading Deadline missed for employee share schemes?
IT consultant applied for two Bounce Back Loans and failed to disclose existence of first loan to liquidators Syzmon Jastrzebski applied for two Bounce Back Loans worth a combined £100,000 when businesses were only entitled to a single loan Jastrzebski failed to declare his first loan when his company entered liquidation He has been banned … Continue reading IT consultant given directorship ban over concealing Covid loan
A tax avoidance promoter whose schemes were used by locum doctors and nurses faces a £900,000 penalty for failing to co-operate with HM Revenue & Customs. IPS Progression Limited (IPS) paid their 1,593 scheme users largely with tax-free loans between April 2016 and April 2022. Some of the workers were locum doctors and nurses whose … Continue reading £900,000 penalty for promoter of tax avoidance scheme
National Minimum Wage increases imminent National Minimum Wage applies to all employees and workers who have reached school leaving age at the relevant point to where they live in the United Kingdom and are at least 16. For pay reference periods starting on or after 1st April 2024, there are significant increases in the National … Continue reading Pay boost for 21 & 22 year olds and younger workers
524 businesses have been named for failing to pay the minimum wage Employers ordered to repay workers nearly £16 million, plus an additional financial penalty, after breaches left over 172,000 workers out of pocket. Comes as the National Living Wage is set to increase by 9.8% to £11.44 an hour on 1st April, as announced … Continue reading Shamed for not paying minimum wage
An employment agency breached National Minimum Wage (NMW) regulations by not paying enough to cover waiting time for workplace security checks on their workers. Nexus Workforce Limited lost their appeal against a number of Notices of Underpayment for failing to pay NMW. During HMRC investigation - it was identified that workers were required to undertake … Continue reading Work security check time is Working Time
The owner of a Cumbria pizzeria and takeaway has been banned as a company director for six years after hiring two illegal workers. Dondu Ozmicco hired two illegal workers without conducting right-to-work checks at the pizzeria in Cumbria The workers were found during a visit from Immigration Enforcement, who handed the business a £20,000 fine … Continue reading Six-year ban for boss who employed illegal workers
The Home Office has published an updated Code of Practice for the Right to Work Scheme, which will come into force on the 13th February 2024. It can be found at: This sets out the prescribed checks and information that must be retained by employers to obtain a statutory excuse against liability for a civil … Continue reading Right to work code update from 13th Feb 2014
National Minimum Wage compliance approach As part of the NMW compliance approach outlined in the December 2023 Employer Bulletin, HM Revenue and Customs (HMRC) NMW team are contacting employers, based on geographical location rather than business type. This enables NMW support across a whole range of businesses in a specific area. The HMRC aim is … Continue reading Minimum Pay – Geographical approach to employers
Published Draft Illegal Working Penalties Code of Practice Home Office has published a draft code of practice on illegal working penalties, which sets out the prescribed checks that employers should conduct to avoid a civil penalty in the event of illegal working. This code has been laid in draft and will come into force on 22nd … Continue reading Right to Work – Illegal Working Penalties Code of Practice
11 agency workers were arrested by Immigration Enforcement at the London Marriott Hotel Regents Park The intelligence-led operation uncovered illegal working and exploitation of agency staff at the 4 star hotel in London. Home Office teams found 11 people employed illegally as cleaners, porters and maids, working 15 hours a day through third party recruitment … Continue reading Illegal workers arrested at Central London hotel
Fines are to be more than tripled for employers and landlords who allow illegal migrants to work for them or rent their properties. Fines are to be more than tripled for employers and landlords who allow illegal migrants to work for them or rent their properties, in the biggest shake up of civil penalties since … Continue reading Tripling of fines for those supporting illegal migrants
Following the June 2023 publication by the Department of Business and Trade of the 202 shamed UK employers who failed to pay the minimum required by law to their employees and workers, PAYadvice.UK are please to publish its Minimum Pay resources “Whilst not all minimum wage underpayments are intentional, there is no excuse for underpaying … Continue reading PAYadvice.UK publishes Minimum pay resources
202 businesses have been named by DBT for failing to pay the minimum wage to lowest paid workers. These employers ordered to repay workers and face penalties of nearly £7 million after breaches left 63,000 workers out of pocket. Follows on from the 9.7% increase in National Living Wage and Minimum Wage on 1st April … Continue reading 202 Employers shamed for underpaying minimum wage
The Home Office deployed over 300 immigration officers on over 150 enforcement visits in one day to crack down on illegal working across the UK. The Home Office confirms that it conducted a record number of visits targeting illegal working in one day, as part of a nationwide operation. During the operation, which took place … Continue reading Over 100 illegal workers arrested
All employers in the UK have a responsibility to prevent illegal working. Employers can be jailed for 5 years and could pay an unlimited fine if they are found guilty of employing someone they knew or had ‘reasonable cause to believe’ did not have the right to work in the UK. Following an increase in … Continue reading Illegal working moped delivery drivers targeted
New offence will make it easier to prosecute a large organisation if an employee commits fraud for the organisation’s benefit. The new failure to prevent fraud offence will make it easier to prosecute a large organisation if an employee commits fraud for the organisation’s benefit. If fraud is committed by an employee of an organisation, … Continue reading New crackdown on fraud
For pay periods starting on or after Saturday 1st April 2023, the National Living Wage and Nation Minimum Wage are rising significantly. For many receiving minimum pay amounts this sees a 9.7% pay increase being applied at some point over the month of April. For those aged 21 and 22 the increase is more as … Continue reading National Minimum Wage Rise 1st April 2023
Taxpayers who have been fined for failing to file their Self-Assessment tax return on time may be able to have their penalties cancelled. The Low Incomes Tax Reform Group (LITRG) said that taxpayers who did not submit their 2021/22 Self-Assessment tax return online by 31st January 2023 may be able to get the automatic £100 … Continue reading LITRG explains how to challenge Self-Assessment late filing penalties
With Christmas nearly here, HM Revenue and Customs (HMRC) is encouraging Self Assessment filers to put their tax return at the top of their to-do list. Last year more than 2,800 customers chose to file their tax return on Christmas Day. But those who get their 2021 to 2022 Self Assessment wrapped up before Christmas … Continue reading Get your Self Assessment wrapped up in time for Christmas
Employers may need to review their reward strategies! With the proposal of the Low Pay Commission (LPC) for a significant rise in the National Living Wage (NLW) and National Minimum Wage (NMW), low paid employees are set to see rises exceeding 9%! And the future prospect of seeing the NLW starting point drop to 21 … Continue reading Significant minimum pay rise may impact employer reward strategies
From 19th September 2022, in response to feedback, employers’ with PAYE will be able to setup and take advantage of a new variable Direct Debit payment plan being introduced by HMRC. The service can be accessed through Pay employers’ PAYE or directly through the business tax account and the employers PAYE service. There will be … Continue reading PAYE new variable payment plan
A tax avoidance scheme promoter has been hit with a £1 million fine after a legal challenge by HM Revenue and Customs (HMRC). Hyrax Resourcing Ltd was handed the almost-maximum allowed fine by the First Tier Tribunal for failing to disclose an avoidance scheme to HMRC as legally required. Hyrax promoted a disguised remuneration scheme … Continue reading Tax avoidance promoter fined £1 million
HMRC interest rates for late payments are revised following the Bank of England interest rate rise to 0.75%. The Bank of England Monetary Policy Committee voted on 17th March 2022 to increase the Bank of England base rate to 0.75% from 0.50%. HMRC interest rates are linked to the Bank of England base rate. As … Continue reading HMRC interest rate changes
Almost 100,000 Self Assessment filers have used online payment plans to spread the cost of their tax bill into manageable monthly instalments since April 2021, HM Revenue and Customs (HMRC) has revealed. Once a customer has filed their 2020 to 2021 Self Assessment tax return, they can set up a Time to Pay arrangement for up to … Continue reading 100,000 spread their Self Assessment tax bill
The Bank of England Monetary Policy Committee voted on 2nd February 2022 to increase the Bank of England base rate to 0.50% from 0.25%. The HMRC interest rates are linked to the Bank of England base rate. As a consequence the HMRC interest rates for the late payment will increase. The change comes into effect … Continue reading HMRC late payment interest rates to be revised
As part of the Autumn budget 2021 announcements, the government are progression new measures to clamp down on promoters of tax avoidance schemes. The measure is targeted at the most persistent and determined promoters and enablers of tax avoidance. The proposed legislative changes are designed to clamp down on the supply of tax avoidance arrangements. … Continue reading Clamping down on tax avoidance
HM Revenue and Customs (HMRC) have issued new guidance to help agencies and employers reduce their risks of using umbrella employers who are operating tax avoidance schemes. Tax avoidance schemes Disguised remuneration schemes These schemes claim to prevent some payments being taxable. They describe taxable earnings paid for doing a job as something that is … Continue reading Reduce risk of using umbrellas who operate tax avoidance schemes
HM Treasury have published two consultations in relation to Anti-Money Laundering: 1. Changes to the Money Laundering Regulations 2. Reviewing the UK’s anti money laundering and terrorist financing regulatory and supervisory regime Both consultations are open for responses until 14th October 2021. More information on all of HMRC’s anti money laundering guidance for businesses can … Continue reading Money Laundering Consultations launched
Government names and shames 191 employers who have underpaid workers, including major household namesnamed firms have been fined for owing £2.1 million to over 34,000 workersBusiness Minister Paul Scully: “Employers that short-change workers won’t get off lightly” Thursday 5th August 2021 - 191 businesses are being named for breaking national minimum wage law. Following investigations … Continue reading Minimum wage law breaker Employers ‘named and shamed’
Reforms to the tax system that will make it easier for small businesses to fill out their returns have been announced by the government 20th July 2021. Self-employed and small businesses are set to benefit from simpler tax reporting ruleNew measures to clamp down on promoters of tax avoidance, including supporting taxpayers to steer clear … Continue reading Simplified tax reporting for self-employed and small businesses
HMRC have issued guidance (13th May 2021) to both and help warn business to be aware of risks within Labour supply chains. Why assure the labour supply chain Failing to take reasonable action to make sure that the supply of labour is legitimate can lead to significant legal, financial and reputational risks, liability for unpaid … Continue reading Supply chain due diligence to assure labour supply chains
HMRC have published further guidance (29th April 2021) to clarify the position on agency and contractors who are employees of umbrella organisations. Working through an umbrella company Those employed by umbrellas can find out about how and what they will be paid if they are an agency worker or contractor and work through an umbrella … Continue reading HMRC publish guidance for those employed by umbrellas
BEIS and HMRC held a Joint National Minimum Wage (NMW) virtual Stakeholder Forum on 29th April 2021 with employer and Minimum pay industry experts. They have kindly shared the presentation slides from the day. The government department responsible for employment law including National Minimum Wage is the Department for Business Energy and Industrial Strategy (BEIS). … Continue reading BEIS-HMRC Joint National Minimum Wage Stakeholder Forum
*Update* On Thursday 5th November 2030, the UK government confirmed a further extension of CJRS until the end of March 2021 the JSS introduction is delayed. HMRC have published more details and guidance to assist employers in operating and claiming support through the new Job Support Scheme which commences from Sunday 1st November 2020. Check … Continue reading Job Support Scheme – Guidance Published (30th October 2020)
Dear @PAYadvice, [The] Employer Bulletin (October 2020, Issue 86) includes all of the latest COVID-19 updates to help [employers] continue to meet [their] payroll obligations to HMRC, including recent government announcements of additional support for businesses and employees. We’ve included the latest update on both the Coronavirus Job Retention Scheme and the Job Retention Bonus, … Continue reading October 2020 HMRC Employer Bulletin
HMRC is to continue its risk-based approach to PAYE late filing and late payment penalties for the 2020/21 tax year. This means that late filing and late payment penalties will be considered on a risk-assessed basis and not automatically. Penalties for 2020/21 will be issued from September 2020. Support is available for Employers during the … Continue reading PAYE RTI penalties – continuation of the risk-based approach to charging penalties