Articles and information in relation to UK Payroll for business, employers and employees.
Families face financial penalties when young people take up apprenticeships. A new report from the Social Security Advisory Committee (SSAC) finds that the benefit system is influencing post‑16 choices regarding education and training. The perverse effects risk undermining other government policy aims, in particular to reduce the number of young people not in education, employment … Continue reading Families face age 16 apprenticeship penalty
As part of the HMRC April 2026 Employers Bulletin, the HMRC are again blaming employers for problems with the HMRC RTI system. Employers create duplicate employments! They state that: Employers continue to create duplicate employments when a payroll ID is changed but the payroll ID change indicator is not used. This typically occurs when the … Continue reading RTI submission problems — incorrect handling of payroll ID
HMRC publishes the Employer Bulletin 6 times a year, giving employers and agents the latest information on topics and issues that may affect them. Some of these topics have already been covered by PAYadvice.UK in articles and blogs and further articles and blogs may now additionally be published. The April 2026 edition of Employer Bulletin … Continue reading Employer Bulletin: April 2026
Winter Fuel Payments paid in winter 2025 will be recovered from pensioners with income above £35,000 Check if your payment will be reclaimed at GOV.UK - you don’t need to contact HM Revenue and Customs (HMRC) Scammers may try to trick customers into handing money over Pensioners are being warned to be on high alert for scams … Continue reading Winter Fuel Payment scams targeting pensioners
Statutory Sick Pay: record sheet (SSP2) has been updated to reflect changes brought in by the Employment Rights Act 2025, to remove the waiting period before SSP can be made. Employers can use form SSP2 to record details of an employee’s sickness absences for Statutory Sick Pay (SSP) and monitor the use of the 28 … Continue reading Statutory Sick Pay record sheet update
The HMRC Software Developers Support Team (SDST) have notified software developers on a difference in this year Department for Work and Pensions (DWP) uprating order to prior practice and original expectations. Under a notice issued to developers ‘Payroll 2026-27: Correction to uprating dates for certain Statutory Parental Pay entitlements’, the SDST have provided the following: … Continue reading Statutory Payments uprating error
Wishing PAYadvice Ltd a very happy 7th Birthday. On 9th April 2019 PAYadvice Ltd was registered with companies house and there lays the birth of PAYadvice.UK. What was originally a WordPress side-hobby has become a registered and regulated business providing regular speed blog for all things Payroll, employment and beyond. PAYadvice.UK has seen its active … Continue reading Happy 7th Birthday PAYadvice.UK – reaching 1 million hits
Leading women’s health campaigner and broadcaster Mariella Frostrup has been appointed as the Government’s Women's Employment Ambassador, a newly created role to support working women across the country. Mariella Frostrup has been appointed as the new Women’s Employment Ambassador to champion women’s health in the workplace. Appointment comes as businesses encouraged to publish voluntary action plans to better support employees experiencing menopause symptoms. Together these measures will work to address the near record … Continue reading Millions of working women set to benefit from landmark workplace health drive
Hundreds of thousands of sick or disabled people will be offered voluntary help towards employment as part of a package of measures coming into force 6th April 2026 that will encourage work and save taxpayers around £1 billion. Incentives that discourage work and trap people on benefits to be removed via legislation coming into force 6th … Continue reading Thousands to be supported into work with reforms to welfare system
Landmark employment rights reforms kick into force. Millions of employees to benefit from reforms to Statutory Sick Pay, ensuring they can take time off when sick without worrying about going without pay. New rights to paternity leave from the first day in a new job, helping families balance work and home life. Changes are part of the Employment Rights Act, which will benefit … Continue reading Millions get new access to sick pay and parental leave
Here it is again, the start of a New Tax Year. Often when meeting with payroll and tax professionals from overseas, they wonder why the United Kingdom tax year commences on 6th April annually. Why is that when so many countries around the world celebrate both the new year and the tax year on 1st … Continue reading Happy New (Tax) Year 2026
Hard working Brits will keep more of their cash under a new government crackdown on unwanted and misleading subscriptions New measures set out to make subscriptions clearer and far easier to manage or cancel Changes will help tackle the cost of living, by saving consumers around £400m annually with new rules to stop “free trials” turning into pricey surprises Consumers at the heart of action, with protections against daily grinds such as endless … Continue reading Crackdown on subscription traps
Britain faces an urgent economic inactivity crisis driven in large part by ill-health and the barriers to work faced by disabled people. Over 1 in 5 working-age adults (2.8 million)are out of work and not looking for work and the most common cause is long-term health issues. The disability employment rate is 52.8%, 29.5% below … Continue reading Keep Britain Working – an update
(c)2025 PAYadvice Ltd New minimum wage rates come into force [for pay reference period starting{ from 1st April [2026], following Low Pay Commission recommendations. Increased rates of the National Minimum Wage, including the National Living wage came into force for pay reference period from 1st April 2026. These rates bring into effect recommendations made by the … Continue reading National Living Wage rises to £12.71
Holiday pay clampdown is on its way with new employer recording obligations and Holiday Pay compliance being introduced alongside the Fair Work Agency enforcement duties. Holiday entitlement and pay rights All employees and workers across the United Kingdom have rights to holiday entitlements and pay. Statistical analysis has shown that in excess of 1.8 million … Continue reading Employers required to keep holiday records
Families encouraged to use Tax-Free Childcare to save thousands on their childcare bills. Working families encouraged to cut the cost of Easter childcare by signing up to Tax-Free Childcare Latest figures show 542,700 families saved on their childcare bills in December 2025 More than £46 million in government cash helped with childcare costs for almost … Continue reading Save on Easter childcare egg-spenses with Tax-Free Childcare
Millions of drivers who claim motoring expenses could benefit from a review of approved mileage rates. Millions of drivers who claim motoring expenses from their employer will see approved mileage rates reviewed ahead of a future Budget. Approved mileage allowance payment rates have not changed since 2011, despite motoring costs evolving significantly. Part of a plan to help keep prices down … Continue reading Mileage rates review to support working people
Statutory Sick Pay (SSP) changes on 6th April 2026 as a result of the Employment Rights Act. More employees will now qualify for Sick Pay SSP as a result of: The Period of Incapacity for Work (PIW) being reduced from 4 calendar days to 1 The number of initial Qualifying Days (QD) which act as … Continue reading SSP Qualifying Days – April 2026 no change
With new Statutory Sick Pay (SSP) rules applying from 6th April 2026, the DWP have updated form SSP1 for use when an employer is not or will stop paying SSP. From 6th April 2026, new changes come into play for SSP: Period of Incapacity for Work (PIW) is reduced to 1 calendar day (previously 4) … Continue reading SSP1 form readied for April 2026 changes
Historic legislation to end the two-child limit has become law, putting 450,000 children on a pathway out of poverty in the final year of this Parliament. Two child-limit – which pushed 100 children a day into hardship – to be scrapped as child poverty bill becomes law. 450,000 children to be lifted out of poverty … Continue reading Two-child limit removal becomes law
HMRC launches Tax Confident, a new website to help people understand tax in plain, simple terms. HMRC launches ‘Tax Confident’ website designed to fill tax knowledge gaps. It covers tax essentials from setting up a business to retirement. Improving customer experience is key to HMRC’s Transformation Roadmap and supports the government’s Plan for Growth. HM Revenue and Customs (HMRC) has launched a new ‘Tax Confident’ website and is encouraging people to use it to help fill their tax knowledge gaps. It … Continue reading Get ‘Tax Confident’
389 employers … named for failing to pay workers the minimum wage to tens of thousands of workers. Employers told to repay over £7.3 million in wages owed to workers to aid the cost of living for some of the lowest earners. 389 named employers, including well-known brands, faced consequences for failing to pay the minimum wage through £12.6 million in penalties. Around 60,000 workers found to have been underpaid as employers who break the rules are … Continue reading Minimum wage shock – penalties for some big names
First apprentices starting on AI and automation practitioner apprenticeship. It's open to all employers and supporting drive to upskill millions by 2030. Skills England launches Artificial Intelligence (AI) and automation practitioner apprenticeship to help businesses boost productivity and adopt emerging technology safely and responsibly Wider AI training now available also includes new apprenticeship unit and … Continue reading AI apprenticeship to close digital skills gap holding back millions of workers
UK drives international action to go after scammers at the Global Fraud Summit, hosted by the United Nations in Vienna on 16th - 17th March 2026 Fraudsters targeting the British public will be hunted down by a new INTERPOL Global Taskforce, launched at the Global Fraud Summit. Codenamed Operation Shadow Storm, the new taskforce will … Continue reading Global taskforce to hunt down overseas scammers
Care homes providing tailored nursing care to patients in the community will benefit from a funding rise of more than 5% to provide specialist care for some of the most vulnerable. This will help reduce the pressure on hospitals by preventing unnecessary admissions and supporting the discharge of individuals into social care settings to free … Continue reading Nursing funding boost to help better community care
taking action to help families with the cost of living The government claim they know that families across the country are feeling the impact of the cost of living - it’s the number one issue impacting working people. It’s why they say they are taking action to reduce everyday costs, whether it’s freezing rail fares … Continue reading Help with the cost of living in 2026
Baroness Maggie Jones of Whitchurch has been appointed as the new Chair of Acas. Baroness Maggie Jones of Whitchurch has been appointed as the new Chair of Acas, following a fair and open public appointment process. She will start on the 1st April 2026, succeeding Clare Chapman, whose two terms as Chair ends on 31st March … Continue reading Baroness Maggie Jones appointed new chair of Acas
Raising the English fluency level will allow migrants to contribute and integrate into British life. Migrants will need to speak English to a higher standard if they wish to stay permanently in the UK, under landmark reforms introduced. They are being given a full year’s notice to prepare – giving the best opportunity to integrate … Continue reading Higher standard of English now required to settle in the UK
The Department for Work and Pensions (DWP) has provided an update to their transitional protection guidance (version 3) via the HMRC Software Developers Support Team. The update is regarding Statutory Sick Pay Transitional Protections for the Employment Rights Act measures coming in from April 2026. “Following final review of Government issued information ahead of implementation, … Continue reading Statutory Sick Pay transitional guidance further updates (v3)
No further payroll related changes were announced within the Chancellors speech. The following is the speech as delivered (minus political comments not relevant on Tuesday 3rd March 2026: Mr Speaker this government has the right economic plan for our country… …a plan that is even more important in a world that in the last few days has become yet more uncertain. With unfolding conflict in Iran and the Middle East. It … Continue reading Spring Forecast 2026 speech
Jobseekers and those starting new jobs encouraged to download the HMRC app for essential job-related information. With National Careers Week under way, jobseekers are reminded to use the HMRC app for essential information when applying for or starting a new job More than 7 million people started new jobs in 2025, an increase of 300,000 from the … Continue reading New figures reveal 7 million started a new job in 2025
Action plans supporting women to succeed at work launched by Minister for Women and Equalities ahead of International Women’s Day 2026. Action plans supporting women to succeed at work launched by Minister for Women and Equalities ahead of International Women’s Day 2026 Employer guidance published today Wednesday 4th March 2026 showing government and businesses working collaboratively … Continue reading Landmark gender pay gap and menopause action plan launched to help women thrive at work
Wound-up in the public interest following Insolvency Service investigations Four companies have been shut down after investigations revealed they were connected to a scheme which helped directors sell struggling businesses for £1 while keeping assets and dropping debts The scheme’s operators failed to preserve accounting records or assess what had happened to the more than … Continue reading Shut down of Four companies linked to scheme aiding directors to walk away from debts
Treasury Minister Chris Thomas MHK emphasised financial discipline and investment in services alongside a substantial rise in the personal allowance while unveiling his first Budget in Tynwald on Tuesday 17th February 2026. … Today I am pleased to announce an increase in the personal tax allowance from April of £2,250 so that individuals will start … Continue reading Isle of Man Budget 2026 changes tax, National Insurance and Minimum Wage
From 6th April 2026, employees will be eligible for unpaid parental leave from their first day of employment. Unpaid parental leave Eligible employees can take unpaid parental leave to look after their child’s welfare, for example to: spend more time with their children look at new schools settle children into new childcare arrangements spend more … Continue reading Unpaid Parental Leave – April 2026 a day one right
From 6th April 2026, employees will be eligible to give notice to take Paternity Leave and Unpaid Parental Leave from their first day of employment. This change supports working parents and is claimed to help businesses attract and retain talent. What are the changes?: Employees can give notice of Paternity Leave from day one of … Continue reading Paternity Leave and Unpaid Paternity Leave from April 2026
HMRC are introducing the requirements to register in stages. From 18th May 2026, HMRC will introduce an online registration system for agent services accounts to register as tax adviserz. If a payroll service already has an agent services account, they will not need to register again. However, HMRC will contact them through the agent services … Continue reading Payroll services to register as Tax Advisers and have AML responsibilities
From 6th April 2026, a new right to Bereaved Partner's Paternity Leave will support employees who lose the mother or primary adopter of their child within the first year of their child's life or adoption. This is a day one right, meaning employees are eligible from their first day of employment. Key changes The right to take time off work will apply … Continue reading Bereaved Partner’s Paternity Leave
From 18th February 2026, upgraded employment rights will begin to take effect. These changes will be introduced gradually between 2026 and 2027, giving employers time to prepare and ensuring workers have clear information about their new rights. The Department for Business and Trade (DBT) have created resources for employees and employers on these changes (click … Continue reading New Employment Rights – February and April 2026
A new package of support will help early years settings strengthen their workforce and improve outcomes for children from the very start. Early years staff across the country will be supported to upskill and qualify as teachers through new paid degree apprenticeships, as the government marks the close of National Apprenticeship Week and continues its work to raise … Continue reading New employer grant to boost quality in early years education
As part of the February Employer Bulletin, the HMRC are reminding employers that the regular electronic payment deadline of 22nd of both February and March 2026 fall on weekends. The electronic payment deadlines fall on a Sunday on 22 February 2026 and 22 March 2026. To make sure your payment for these months reaches us on time, you need to have … Continue reading HMRC electronic payment deadline for February and March 2026
The 'Specification for PAYE tax table routines' has been updated to version 24.0 (February 2026). HM Revenue and Customs have issued, on Wednesday 11th February 2026, the updated specification for Income which reflect the adjusted parameter values for Scottish Income Tax. The values for England, Northern Ireland and Wales remain frozen. PAYErout-v24-0Download Part of Tax … Continue reading Payroll technical specifications: Income Tax April 2026
HMRC as part of the February edition of the Employer Bulletin is reminding employers to get ready for the changes introduced as part of the Employment Rights Act. The Employment Rights Bill became law on 18th December 2025 and is now the Employment Rights Act 2025. Employers should start getting ready now for changes that … Continue reading Implementation of the Employment Rights Act
The February edition of the HMRC Employers Bulletin out lines the changes to Statutory Sick Pay which applies from 6th April 2026 and forms one of the measures from the Employment Right Act 2025. PAYadvice.UK has published a series of articles and resource pages (see below links) on the changes which are to soon come … Continue reading Statutory Sick Pay (SSP) changes — what employers need to know
HMRC publishes the Employer Bulletin 6 times a year, giving employers and agents the latest information on topics and issues that may affect them. Some of these topics have already been covered by PAYadvice.UK in articles and blogs and further articles and blogs may now additionally be published. The February 2026 edition of Employer Bulletin … Continue reading Employer Bulletin: February 2026
Monday 9th February 2026, the Department for Work & Pensions (DWP) have further clarified added areas of transitional arrangements with the new SSP rules that commence from 6th April 2026. The DWP issues a further update to the transitional guidance on Tuesday 10th March 2026 Prior guidance has been confirmed: Calculating 80% average weekly earnings … Continue reading Added Statutory Sick Pay (SSP) transitional guidance
£10 million financial support package for families of children and young people with cancer to cover travel costs to and from appointments. £10 million support comes as more than a third of families travel over an hour to reach hospital for cancer care Fund a key recommendation of the Children and Young People’s Cancer taskforce … Continue reading Government to cover travel costs of children with cancer
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
Millions of working women will be better off with new measures being introduced to tackle historic gender pension gap. Millions of women working in local government will see their pensions improve under new reforms coming into force in April, as the government takes action to close the gender pension gap. These steps are to directly benefit working … Continue reading Pension scheme reforms to tackle gender pension gap
Barnsley named UK’s first Tech Town – with local schools and college, businesses, NHS and more getting bespoke government support to unleash opportunities of AI. Delivers on the town’s ambitions to put AI to work in overhauling public services and business, blazing a trail for the rest of the UK to follow Leading firms including Microsoft, Cisco and Adobe … Continue reading Barnsley becomes UK’s first government-backed Tech Town
HMRC have issued the following (edited) information on Wednesday 21st January 2026, effective for payments from 6th April 2026. Dear PAYadvice.UK, Change to Small Employers Relief rate Employers can currently reclaim 92% of employees’ Statutory Maternity, Statutory Paternity, Statutory Adoption, Statutory Parental Bereavement, Statutory Neonatal Care and Statutory Shared Parental Pay. If a business has … Continue reading Small Employers Relief increased to 9%
(c)2025 Photo by PSP The HMRC issued the following (edited) information on Friday 16th January 2026 confirming the U.K. tax rates applicable from 6th April 2026 (some aspects subject to final parliamentary approval). Dear PAYadvice.UK Following the Scottish Budget announcement, we can provide the following Income Tax information for 2026-2027. Details for Wales, England and … Continue reading Payroll 2026-2027: Allowances, Rates and Thresholds – updates on Income Tax
NEW TUC POLLING: 1 in 7 women (14%) have lost their job - or felt forced to leave their job - due to expecting a child or becoming a parent. Over one in five women (21%) who have or are expecting a child also report unfair treatment at work. More than 1 in 10 new fathers (14%) also report experiencing unfair treatment at work. The … Continue reading Number of new and expectant parents losing their job or facing unfair treatment at work “alarmingly high”
New day one rights to parental leave set to enter force from April 2026. Over 18 million workers across the UK are expected to benefit from stronger protections at work, with most insecure workers set to gain the most. New day one rights from April 2026 confirmed for parental leave, whilst bereaved partners set to gain further rights to paternity leave. Changes are claimed … Continue reading Stronger working rights to give millions of families the “security they deserve”
UK Visas and Immigration (UKVI) are replacing physical immigration documents with a digital immigration status, known as an eVisa eVisas will replace all visa stickers in 2026 From 12th January 2026, most people granted a visit visa, and some other visa types will be told that they will get an eVisa as well as a visa sticker. Most people … Continue reading Move to eVisas update
Enforcement raids skyrocket by 77% … leading to an 83% increase in arrests. Illegal working arrests and raids have reached the highest level in British history due to relentless activity by the Home Office’s Immigration Enforcement teams. Over 17,400 raids were made to dodgy businesses such as nail bars, car washes, barbers and takeaway shops - targeting those attempting to undercut … Continue reading Illegal working – raids reach highest level in UK history
Majority of [Scottish] taxpayers will pay less income tax than in rest of the UK. Changes to the basic and intermediate rate income tax thresholds will protect lower-income households in 2026-27, Finance Secretary Shona Robison has announced. She also confirmed there would be no changes to rates or the number of tax bands in the … Continue reading Scottish Budget 2026 – Income Tax
Armed Forces to launch “gap year” Foundation Scheme in 2026 to give under-25s experience of armed forces Britain’s young people will be given new opportunities to experience military service through a ‘gap year’ Foundation Scheme set to launch in 2026. A first wave of around 150 participants will open for recruitment from early 2026, offering young … Continue reading UK Armed forces launch ‘Gap Year’ scheme
Competition and Markets Authority (CMA) publishes latest report analysing competition in the road fuel market and the factors influencing prices paid by drivers. New analysis shows fuel retailer operating costs do not explain why fuel margins remain at persistently high levels Fuel finder set to launch next year [2026] to help drivers get the cheapest prices and boost competition in the sector CMA publishes enforcement guidance setting out what happens if … Continue reading Fuel margins remain “persistently high”
Over 4.2 million HMRC app downloads in 2025. More than 136 million logins, a 20% increase on 2024. Older and retired people are the biggest growth area for app engagement. Millions more people are choosing to make managing their tax easier and simpler, with use of the HM Revenue and Customs (HMRC) app continuing to accelerate nationwide. … Continue reading HMRC app surge on those taking control of their tax
The Chancellor has asked the Office for Budget Responsibility to prepare forecast for 3 March 2026 The Chancellor of the Exchequer Rachel Reeves has asked the Office for Budget Responsibility to prepare an economic and fiscal forecast for publication on 3rd March 2026. As set out at the Budget 2025, the Spring forecast will not make an … Continue reading Chancellor announces date of 2026 Spring Forecast
Following the passing of the Employment Rights Bill and the Royal Ascent of the Employment Rights Act on Thursday 18th December 2025, one of the major changes are the new rights to Statutory Sick Pay (SSP) from Monday 6th April 2026 (Easter Monday). The Statutory Sick Pay measures include: Removing the Lower Earnings Limit to … Continue reading New Statutory Sick Pay (SSP) – what is the 80% rate?
Following the passing of the Employment Rights Bill and the Royal Ascent of the Employment Rights Act on Thursday 18th December 2025, one of the major changes are the new rights to Statutory Sick Pay (SSP) from Monday 6th April 2026 (Easter Monday). The Statutory Sick Pay measures include: Removing the Lower Earnings Limit to … Continue reading New Statutory Sick Pay (SSP) Transitional Protection April 2026
HMRC interest rates for late payments will be revised following the Bank of England interest rate cut to 3.75% on 18th December 2025. The Bank of England Monetary Policy Committee announced on 18th December 2025 to reduce the Bank of England base rate to 3.75% from 4.00%. HMRC interest rates are linked to the Bank of … Continue reading HMRC revises interest rates
Hundreds of thousands of people will benefit from an expansion of a trial to tackle poor housing and protect taxpayers’ cash from rogue landlords. Around 400,000 households receiving housing support to be better protected from rogue landlords thanks to an expanded crackdown scheme. After a successful trial, 41 local authorities across England will now be empowered to better protect … Continue reading Crackdown on rogue landlords
Over 15 million people across the UK are expected to benefit as New laws bring the world of work into the 21st century Over 15 million people across the UK are to benefit from new worker protections, including those on the lowest pay and in the most insecure jobs. New rights confirmed including day one paternity leave and parental leave, statutory sick pay, protections for pregnant workers, increased protection from unfair … Continue reading Employment Rights Act receives Royal Assent
The automatic enrolment earnings trigger determines at what point an eligible person gets automatically enrolled into a workplace pension. The qualifying earnings band sets minimum contribution levels for money purchase pension schemes. The minimum of the band is also relevant for defining who can opt in if they earn under the earnings trigger. The government … Continue reading Automatic Enrolment: the Earnings Trigger and Qualifying Earnings Band Review 2026/2027
The HMRC have issued the RD1 Specification for employer substitute form P60 and e P60 for the tax year 2026 to 2027. In addition to changing the tax year, the reference to tax credits has been removed and reference to Pension Credit has been added. April 2026 sees the introduction of Statutory Parental Bereavement Pay … Continue reading 2026/2027 P60 & eP60 substitute adjustments
Revenue Jersey have confirmed various values that relate to payroll. They issued the following on Monday 15th December 2025. The minimum earnings threshold applicable from 1st January 2026 in relation to Class 1 are: And the Class 1 thresholds applicable from 1St January 2026: Part of Tax Year 2026/2027 resources PAYadvice.UK 17/12/2025
The Collection of Student Loans consultation group has confirmed since all the repayment thresholds for 2026/2027 have been confirmed and announced. (c)2025 PAYadvice Ltd The hierarchy setting out the applicable repayment threshold to apply when a borrower holds multiple plan types is set out in the attached plan type hierarchy matrix. (C)2025 PAYadvice Ltd New … Continue reading Multiple Student Loan Plan type hierarchy agreed
As part of the December 2025 Employer Bulletin, information on Labour supply change responsibilities have been issued: From 6th April 2026, significant changes to PAYE responsibilities will come into effect for labour supply chains, that include umbrella companies. An agency or end client are responsible for making sure PAYE is operated correctly when an umbrella company employs their workers. … Continue reading New PAYE responsibilities in labour supply chains – Umbrellas
As part of the December 2025 Employer Bulletin, HMRC have shared information on promoted Salary Sacrifices Grocery Schemes. They confirm that they are neither approved or promoted by HMRC and are unlikely to qualify for the savings that the promoters indicate. There is no 8% employee NI saving. The following has been issued as part … Continue reading Grocery Salary Sacrifice! Buyer beware
HMRC publishes the Employer Bulletin 6 times a year, giving employers and agents the latest information on topics and issues that may affect them. Some of these topics have already been covered by PAYadvice.UK in articles and blogs and further articles and blogs may now additionally be published. The December 2025 edition of Employer Bulletin … Continue reading Employer Bulletin: December 2025
Almost one million young people will benefit from learning or employment opportunities as a result of a major £820 million funding package. The funding will create 350,000 new workplace opportunities designed to support young people into employment. Hundreds of thousands more young people on Universal Credit to benefit from dedicated support. Guaranteed jobs scheme to … Continue reading Young people to benefit from expanded support, new training, and work experience opportunities
The £725 million package of reforms to the apprenticeship system will help to tackle youth unemployment and drive economic growth, with thousands more young people expected to benefit over the next three years. £725 million investment to deliver more apprenticeships for young people and help match skills training with local job opportunities. Young people to … Continue reading 50,000 young people to benefit from apprenticeships
Owners of Bitcoin and other digital assets will benefit from greater legal protection thanks to an important clarification to the law. New law confirms digital assets like crypto tokens can be recognised as personal property Victims of digital theft and fraud gain stronger protections as legislation passes through the final stages of Parliament Part of Government’s Plan for Change for growth to boost the UK’s reputation as a global … Continue reading UK recognises cryptocurrency as personal property
Nationwide takedown of illegal delivery riders leads to over 170 arrests Delivery riders caught working illegally across Britain face being removed following a major operation by the Home Office’s Immigration Enforcement teams. During just seven days of action during November 2025, 171 riders were arrested. Of those, 60 were detained for removal from the UK. … Continue reading Illegal delivery riders face removal following enforcement blitz
The HMRC Software Developer Support Team have kindly issued the new adjusted HMRC ‘New Starter Checklist’ to software developers to aid preparation for the 2026/2027 tax year. This new format comes into operation for payroll paying from 6th April 2026. Many years ago these were referenced as a P46 and that name continues to sometimes … Continue reading 2026/2027 New Starter Checklist – getting prepared
The government are progressing the Employment Rights Bill through Parliament. Although some elements are being ping ponged between the commons and the Lords, a number of measures are agreed. One such measure is the change to Statutory Sick Pay from 6th April 2026. Statutory Sick Pay Reform As part of a number of initiatives to … Continue reading Day 1 sick pay for all going ahead
As a result of the Employment Rights Bill currently going through parliament and anticipated as something that will be passed, workers will receive the right to receive payment from their employers if shifts are cancelled, moved, or curtailed at short notice. As part of Budget 2025, the HMRC, In line with existing legislation relating to … Continue reading Tax on cancelled, moved or curtailed shifts
Payroll 2026-27: Allowances, Rates and Thresholds from April 2026 Dear PAYadvice.UK Following the Autumn Budget of 26 Ltd November 2025, we can confirm the following information for payroll 2026-27. Where details are not currently known, these are marked as TBA. We will provide a further update as soon as we can. We will also provide … Continue reading HMRC confirm most of the 2026/2027 values for software
As part of budget 2025 announcements have been progressed in relation to collective money purchase schemes. What a CMP The Pension Schemes Act 2021 introduced CMP schemes (also known as collective defined contribution (CDC) schemes) as a new type of trust based occupational pension scheme. Currently CMPschemes are only available to single or connected employers. However, the Department … Continue reading Budget 2025 – Collective money purchase schemes
This measure is about bringing Employee Car Ownership Schemes (ECOS) within the scope of the benefit in kind rules as company cars from 6th April 2030, with transitional arrangements. What is an ECOS scheme An ECOS is something more organised than the employer simply ceasing to provide a company car and (normally) increasing taxable pay … Continue reading Budget 2025 – Changes to Employee Car Ownership Schemes (ECOS)
Following the UK budget on 26th November 2025 which applied a freeze of tax bands and rates, potentially until 5th April 2031, it’s time to catch-up on what is happening with the Welsh Income Tax applicable from 6th April 2026 for the 2026/2027 tax year. As part of the Welsh draft budget preparation announced on … Continue reading 2026/2027 Welsh Rate of Income Tax
Richard Hughes has written to the Chancellor (1st December 2025) to resign as Chair of the Office for Budget Responsibility (OBR). The OBR inadvertently made it possible to access the November 2025 Economic and fiscal outlook (EFO) too early on Budget day. They launched an immediate investigation into what happened which has reported today, Monday 1st December … Continue reading OBR chair resigns over budget 2025 blunder
As part of budget 2025, Rachel Reeves announced a freeze of National Insurance thresholds and rates until April 2031. Well not everything was frozen, it was after confirmed that the National Insurance Contributions (NICs) Lower Earnings Limit (LEL), the point where individual start accruing state benefit rights, would rise by +£4 to a new £129 … Continue reading Budget 2025 – National Insurance freeze!
A new measure is introduced that will affect employers who notify HMRC through a PAYE-notification, often referred to as a Section 690 application, that they will operate Pay As You Earn (PAYE) on a proportion of the employment income of a qualifying new resident employee that will be eligible to claim Overseas Workday Relief (OWR). The … Continue reading Section 690 – Overseas Workday Relief
What are umbrella companies? Umbrella companies are employment intermediaries that employ workers on behalf of agencies and end clients. Many umbrella companies operate diligently, supporting their employees and providing convenience and administrative benefits for agencies. Some appear to be involved in tax avoidance However, too many are used to facilitate non-compliance including tax avoidance and … Continue reading Umbrellas — rules to tackle non-compliance
I have concluded my statutory annual review of …. benefit rates under the Social Security Administration Act 1992. The new rates will apply in the tax year 2026-27, with most increases coming into effect from 6 April 2026. …. benefit rates covered by my statutory review will be increased by 3.8%, in line with the … Continue reading April 2026 Statutory payment rates announced
Billpayers to benefit from an average of £150 off the costs of energy bills. The government have announced in the Autumn Budget that they will cut the cost of living, including by taking an average of £150 off the costs of household energy bills from April next year. This energy bill support is on top of extending the £150 Warm Home Discount to around a further 2.7 million of the poorest … Continue reading Budget 2025 – Energy Bills
Agreement reached with key stakeholders on the unfair dismissal elements of the Employment Rights Bill. The Government convened a series of conversations between trade unions and business representatives. On the basis of the outcome of these discussions, the Government will now move forward on the issue of unfair dismissal protections in the Employment Rights Bill … Continue reading Employment Rights Bill – Dismissal agreement reached
This working paper seeks views on different options to reform non-compete clauses in employment contracts. Non-compete clauses are inserted into employment contracts to restrict an individual’s ability to work for, or establish, a competing business after they have moved on from a job. The government is interested in views on different options to reform non-compete clauses in employment contracts to support the … Continue reading Reform of non-compete clauses in employment contracts
Tax advisers who interact with HMRC on behalf of clients will be legally required to register and meet minimum standards before doing so. This begins in May 2026, with a transitional period of at least 3 months for all tax adviser groups. A digital registration process will be available, with a non-digital alternative for those … Continue reading Tax advisers to register with HMRC and meet minimum standards
Extend employer National Insurance contributions veteran’s relief In April 2021, a National Insurance contributions (NICs) relief for employers that hire former members of the UK regular armed forces was introduced. This brought in an NIC category of ‘V’. The veteran’s relief was due to end on 5th April 2026 but the government have announced that it … Continue reading Budget 2025 – Veterans NIC relief extended
Employees who are required to work from home to perform the duties of their employment are entitled to tax relief on their actual costs under section 336 ITEPA2003. Section 336 ITEPA allows for a deduction from earnings for allowable expenses that meet certain criteria that is set out within legislation. As an administrative easement, HMRC allowed eligible employees … Continue reading Budget 2025 – Working from home relief abolished
Tax avoidance arrangements seeking to avoid Corporation Tax, Income Tax and National Insurance contributions by using unfunded pension arrangements. HMRC is aware of tax avoidance arrangements used by owner managed companies and their directors. These arrangements are used to reward one or more directors for the services they provide to a company, in a way … Continue reading Disguised remuneration: tax avoidance using unfunded pension arrangements
(c)2023 PSP The Department for Education… (26th November 2025) confirmed annual updates to repayment thresholds for Plan 2 and Plan 3 [Postgraduate] Income Contingent Student Loans. Income Contingent Student Loans for Plan 2 (2012-2023) undergraduate loans The income threshold and the lower interest rate threshold for repayment of Plan 2 loans to apply from April … Continue reading Student Loans Repayment Threshold Announcement for Plan 2 and Post Graduate loans for April 2026
The independent loan charge review and government response were published Wednesday 26th November 2025 following Budget 2025. At Autumn Budget 2024, the government committed to an independent review of the Loan Charge to help bring the matter to a close for those affected whilst ensuring fairness for all taxpayers. On 23rd January 2025, the Exchequer … Continue reading Independent Loan Charge review and response
Budget 2025 speech as delivered by Chancellor Rachel Reeves - 26th November 2025 Madame Deputy Speaker. It is my understanding that the Office for Budget Responsibility’s Economic and Fiscal Outlook was released on their website before this statement. This is deeply disappointing and a serious error on their part. The Office for Budget Responsibility has … Continue reading Budget 2025 speech
It’s the kids that have paid the price As part of the Budget 2025, the chancellor Rachel Reeves stated that she came into politics because every child ‘deserves an equal chance’. Fully costed and fully funded, the Two child benefit cap has been scrapped from April 2026. This is claimed to be ‘the biggest reduction … Continue reading Budget 2025 – Two Child Benefit limit removed April 2026