Hire in the United Kingdom
Access the UK's deep, diverse talent market without a local entity. Vectis handles PAYE, National Insurance, auto-enrolment pensions, and full Employment Rights Act compliance — onboard in 48 hours.
Quick Facts
UK Employment Law Guide
Everything you need to know about hiring compliantly in the UK — from PAYE and NI to auto-enrolment pensions and IR35.
Employment Contracts
- ✓Written statement of employment particulars required from day one
- ✓Employment Rights Act 1996 sets minimum statutory rights
- ✓Three types: employee, worker, self-employed
- ✓IR35 rules govern off-payroll working arrangements
- ✓Probation period: typically 3–6 months (no statutory cap)
Working Hours & Overtime
- ✓Maximum 48 hours/week averaged over 17 weeks (Working Time Regulations)
- ✓Employees can opt out of the 48-hour limit in writing
- ✓No statutory minimum overtime pay rate — set by contract
- ✓11 hours rest between working days mandatory
- ✓Night workers limited to 8 hours average per 24-hour period
Leave Entitlements
- ✓5.6 weeks (28 days) statutory annual leave including bank holidays
- ✓52 weeks maternity leave (39 weeks paid: 90% then statutory rate)
- ✓2 weeks paternity leave at statutory rate
- ✓Shared Parental Leave available (up to 50 weeks)
- ✓Up to 3 days emergency dependants leave (unpaid)
Wages & Pay Structures
- ✓National Living Wage: £11.44/hour (aged 21+, April 2024)
- ✓National Minimum Wage for ages 18–20: £8.60/hour
- ✓PAYE income tax and National Insurance deducted at source
- ✓Gender pay gap reporting required for employers with 250+ employees
- ✓Holiday pay must include regular overtime and commission
National Insurance & Pension
- ✓Employer NI: 13.8% on earnings above secondary threshold (£9,100/yr)
- ✓Auto-Enrolment pension: 3% employer minimum contribution
- ✓Employee NI: 8% between primary and upper threshold
- ✓HMRC Real Time Information (RTI) submission required each pay run
- ✓Apprenticeship Levy: 0.5% for employers with payroll over £3M
Termination & Rights
- ✓Minimum notice: 1 week per year of service (max 12 weeks by law)
- ✓Unfair dismissal rights after 2 years of continuous employment
- ✓Statutory Redundancy Pay after 2 years (capped at £643/week)
- ✓Day-one rights include unlawful discrimination protection
- ✓Settlement agreements common for negotiated exits
How to Hire in the UK with Vectis
From offer letter to first payroll — we handle every step of UK employment compliance.
Share the details
Role, salary, location, and start date. We assess right-to-work requirements and IR35 status where relevant.
We draft the contract
UK-law employment contract with a written statement of particulars as required from day one by the Employment Rights Act.
Onboard & register
PAYE registration, auto-enrolment pension setup, right-to-work checks, and HMRC notifications completed on day one.
Run payroll & stay compliant
RTI submissions to HMRC each pay day, NI and pension contributions, P60 at year-end, and ongoing legislative updates.
“Hiring in the UK is surprisingly complex — IR35, auto-enrolment, the NI threshold changes. Vectis kept us fully compliant throughout our 15-person UK expansion without a single HMRC issue.”
Public Holidays in the United Kingdom
England, Wales, Scotland and Northern Ireland each have slightly different bank holidays. Vectis tracks the correct bank holidays for every employee location.
UK Hiring FAQs
Common questions about employing staff in the United Kingdom.
Ready to hire in the UK?
Vectis is your Employer of Record in the United Kingdom. We absorb all compliance risk and ensure you stay fully aligned with HMRC, the Employment Rights Act, and every change from Westminster.
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