5 Things Recruiters Must Know About UK Employment Law Changes in 2026

5 Things Recruiters Must Know About UK Employment Law Changes in 2026.

by Howard Greenwood, 3rd December 2025

2025 UK Recruitment Changes: Budget Impact, Umbrella Company Reforms & Employment Rights Bill Explained

The UK recruitment industry faces massive changes in 2025. Learn how the Budget, Umbrella company reforms, and Employment Rights Bill will impact your recruitment business margins, compliance obligations, and operational model. This essential webinar covers employer NI increases to 15%, joint liability rules from April 2026, temporary worker rights, and PAYE vs umbrella decisions that recruitment leaders must make now.

πŸ‘₯ YOUR EXPERT SPEAKERS
Su Haddrell – Marsh Commercial
Specialist in insurance and risk management for the UK recruitment sector. Su helps recruitment agencies navigate complex compliance requirements and protect their businesses through appropriate insurance solutions.
Poonam Mawani – Founder, Azuki Accounts
Expert in the recruitment industry, financial compliance, payroll solutions, and umbrella company regulations. Poonam provides practical financial guidance to recruitment businesses across the UK.

πŸ“‹ TIMESTAMPS
00:00 – Meet Your Expert Panel: Su Haddrell & Poonam Mawani
01:57 – With employer NI rising to 15%, National Living Wage increasing to Β£12.21, and joint liability rules coming April 2026 – what’s the single biggest financial mistake recruitment leaders are making right now, and what should they do instead?
06:42 – When umbrella companies fail to pay HMRC and tax liability lands on agencies – what happens? Which insurance policies actually protect you (and which ones don’t)?
10:51 – End clients are mandating PAYE instead of umbrellas – what’s the true cost of switching 50+ temps to in-house PAYE vs outsourcing? What hidden risks exist in outsourced payroll?
16:59 – Swedish Derogation ending, 12-week equal pay rule, day-one unfair dismissal rights – what contract changes and processes must every recruitment leader implement in Q1 2025 to avoid tribunal claims?
21:39 – If you’ve worked with the same umbrella companies for years, what due diligence should you conduct RIGHT NOW? What red flags in umbrella accounts should set alarm bells ringing?
QUESTION 6: The Build vs Buy Decision
30:47 – When does it make financial sense to set up your own payroll or umbrella company vs using third parties? What’s the calculation recruitment leaders should make, and what additional insurance is required?
35:02 – With Budget changes and joint liability hitting April 2026, if you could only give THREE actions for recruitment leaders to take in the next 90 days to protect their business and margins – what would they be?

πŸŽ“ WHAT YOU’LL LEARN
Budget Impact on Recruitment Agencies:
Umbrella Company Insurance & Risk:
Financial Planning & Payroll Decisions:
Employment Rights Bill Changes:

βœ… YOU’LL LEAVE WITH:
βœ“ Clear calculation of your financial exposure from 2026 legislative changes
βœ“ 6-18 month action plan with specific compliance deadlines
βœ“ Insurance policy requirements and estimated costs
βœ“ PAYE vs umbrella decision-making framework for your agency
βœ“ Ready-to-use contract templates and compliance checklists
βœ“ Answers to your specific recruitment compliance questions

🎯 THIS WEBINAR IS ESSENTIAL IF YOU:

Place temporary workers through umbrella companies
Have clients requesting PAYE employment arrangements
Need to understand joint responsibility liability rules
Want to protect your recruitment agency from compliance risks
Must renegotiate rates with clients due to Budget NI changes
Are planning recruitment business growth or exit within 2-5 years
Manage temporary worker assignments and need updated contracts
Work with multiple umbrella companies and need risk management strategies

⚠️ IMPORTANT DISCLAIMER
This webinar provides general information and guidance on UK recruitment industry changes. It should not be considered specific legal, financial, or tax advice for your individual circumstances. Always consult with qualified professionals regarding your specific situation.

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