Hire employees in United Kingdom, hassle-free

With Deel, your business can easily hire employees in United Kingdom. No more worrying about local laws, complex tax systems, or managing international payroll. Deel takes care of everything in 150+ countries.

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Employee - UK

Hire employees in United Kingdom No entity needed.

Usually, to hire in United Kingdom,  your business needs an entity. That means a local office, an address registered as a subsidiary, and an account with a local bank. All of this, plus navigating regional benefits, payroll, tax, and HR laws, can take months. 

United Kingdom also treats contractors differently than full-time employees, so misclassifying a contractor could lead to fines. Deel lets you hire employees in United Kingdom quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more.

All the necessary benefits for United Kingdom built right in

Deel allows you to provide localized benefits for employees in United Kingdom within minutes. All in one manageable online dashboard.

  • Pension
  • Unemployment Insurance
  • Professional Training

Contents


    Speak to our team about how to compliantly hire in United kingdom

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    Quick Overview

    Currency: Pound Sterling (GBP)

    Capital: London

    Official language: English

    Payroll Cycle: Monthly

    Statutory Holidays

    Paid Time Off

    In the UK, employees are entitled to 20 days of paid holiday a year

    Public Holidays

    • New Year’s Day
    • Good Friday
    • Easter Monday
    • Early May Bank Holiday
    • Spring Bank Holiday
    • Christmas Day
    • Boxing Day
    • Summer bank holidays

    General Taxation

    Individual Income Tax

    The individual income tax depends on many variables, such as marital status, level of income, etc. The average ranges from 20% to 45%.

    Employer Cost

    Approximately, 17.3% of employee salary

    Additional information

    Employment Contract Details

    Contracts should be in writing and in English.

    Probation Period

    No mandatory requirement concerning probation periods. The maximum probation period is 6 months.

    Minimum Wage Requirements

    In the UK, the minimum wage depends on the employee's age:

    • Age 18-20: £6.15 an hour
    • Age 21-24: £7.70 an hour
    • Age 25 and Over: £8.21 an hour

    Maximum working hours and overtime

    The maximum hours allowed per week are 48.

    Bonus and expense payments

    Employers providing bonus payments to their employees have certain tax, National Insurance and reporting obligations.

    Parental Leave

    • Maternity leave: employees are entitled to statutory maternity leave for 52 weeks. It’s made up of: Ordinary Maternity Leave (first 26 weeks) and additional Maternity Leave (last 26 weeks). Employees can decide when to take leave, but it's mandatory to take 2 weeks after the baby is born. The National Insurance will be responsible for the payment. The employee will receive 90% of the average weekly earnings (before tax) for the first 6 weeks and £151.97 or 90% of the average weekly earnings (whichever is lower) for the next 33 weeks.
    • Paternity leave: employees are entitled to 2 weeks of paid leave, this leave must be taken within the first 56 days since the child is born and cannot be splitted. To be eligible for paternity payment the employee must have worked for the same company for at least 26 weeks.

    Sick Leave

    Employees are entitled to statutory sick pay (SSP) as long as they earn more than the lower earnings level. SSP is not however payable for the first 3 qualifying days of absence (a qualifying day is a day on which you are normally expected to work under your contract of employment).

    There is a limit of 28 weeks‘ SSP in any one period of sickness or linked periods (periods of sickness are said to be linked if the second period starts within 8 weeks of the end of the first period). SSP is paid in the same way as ordinary pay and is liable to tax and National Insurance contributions.

    Payments of sick pay may be terminated, suspended or reduced if an employee fails to notify the Company of relevant facts, or if their absence or continued absence is due to their taking an unwarranted risk (in or out of work), conducting themselves in a way that prejudices their recovery.

    Termination requirements for employees in

    Dismissal occurs when you end an employee’s contract, there are different types:

    • fair dismissal
    • unfair dismissal
    • constructive dismissal
    • wrongful dismissal

    There is no entitlement to Severance Pay, unless it was a termination due to redundancy. Any not taken holidays must be paid out upon termination.

    Notice period

    In the UK, the notice period is based on the length of their labor relationship:

    • 1 month to 2 years of employment - 1 week's notice
    • 2 - 12 years of employment - one week's notice for each year of service.
    • 12+ years of employment - 12 weeks' notice

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    5 Stars

    Deel is the best!!

    “Deel is an amazing platform! It's super intuitive and user friendly, plus it runs suuuuper smoothly!! It has great options for paying and withdrawing money, plus it helps you keep super organized with your spending. They also have great support and are super friendly with all the questions you might have :D I would definitely recommend it!!”

    Manuela Echeverry
    Nov 20, 2020
    5 Stars

    A contracting life-changer!

    "This has by far the singular tool that made my contracting work amazing. It used to be that contract management and payouts was a nightmare — Deel makes everything so easy especially with its Transferwise integration. Everyone gets paid on time and kept happy. I also contacted their support a couple of times for some small questions and they’ve been nothing short of amazing. If you’re a contractor or someone who hires contractors then definitely give Deel a go."

    Kix Panganiban
    Dec 3, 2020
    5 Stars

    Great service offering!!

    "The Deel platform has been super effective for my team and I and has enabled us to bring on workers globally. The platform allows us to onboard individuals seamlessly and with no issues at all. Highly recommend."

    Michael US
    Oct 28, 2020
    5 Stars

    Terrific service

    "Great service, amazing customer care, terrific platform, both for the company and for the contractors/employees. Saving everyone's time and money"

    Nunzio Martinello
    Dec 15, 2020
    5 Stars

    Deel is a game-changer for distributed teams

    "Deel has been instrumental in helping us both open and operate our EU operations. It's super simple to set up and implement and the support team has been world-class. I can't recommend them enough!"

    Jeremie Habib
    Nov 16, 2020
    5 Stars

    Great app with great customer service

    "Great app with great customer service, with great attention to details and legal requirements. Looking forward to keep using it!"

    Felipe Marote
    Jan 29, 2021