European Compliance
UK HR & Employment Compliance Guide (2026)
A guide for global businesses managing employees in the United Kingdom, covering HMRC requirements, workplace pensions, and worker status.
HMRC & Real Time Information (RTI)
Employers in the UK must report payroll information to HM Revenue and Customs (HMRC) in real time (RTI) whenever employees are paid.
Full Payment Submission (FPS): Must be sent on or before each payday.
Employer Payment Summary (EPS): Sent monthly to claim credits or if no employees were paid.
Workplace Pension Auto-Enrolment
Under the Pensions Act 2008, every employer in the UK must put certain staff into a workplace pension scheme and contribute towards it.
Eligibility
Applies to workers aged 22 to State Pension age, earning over £10,000 per year.
Minimum Contributions
Total 8% (Employer minimum 3%, Employee 5% including tax relief).
IR35 & Worker Status
Off-payroll working (IR35)
Medium and large-sized private sector clients are responsible for deciding a worker's employment status for tax purposes. Incorrect classification can lead to significant back-taxes and penalties.
Always use the HMRC CEST tool for status determinations.
Statutory Leave & Pay
| Type | Statutory Minimum |
|---|---|
| Annual Leave | 5.6 weeks (28 days for full-time) |
| Sick Pay (SSP) | £116.75 per week (up to 28 weeks) |
| Maternity Pay (SMP) | 90% for 6 weeks, then statutory rate |