Hire & Pay Employees in the United Kingdom

With PamGro, your business can easily hire employees in the United Kingdom. No more worrying about local laws, complex tax systems, or managing international payroll.


Currency Pound Sterling (GBP)


GDP per Capita$49,320.63

Payroll FrequencyWeekly or Monthly


Traverse United Kingdom's Recruitment Market with ease.

The United Kingdom (UK) is a thriving hub for businesses, offering a rich tapestry of opportunities for expansion and growth. Understanding the nuances of its employment landscape is crucial for businesses aiming to establish a foothold in this dynamic market.

Benefits of hiring in the United Kingdom

Employing talent in the UK brings a myriad of advantages, including access to a diverse pool of skilled professionals, a stable legal framework, and proximity to a robust consumer market. Furthermore, the UK’s strong infrastructure and business-friendly environment make it an attractive destination for both startups and established enterprises alike.

Challenges when expanding into the United Kingdom

While the UK presents lucrative opportunities, expanding into this market comes with its set of challenges. These may include navigating complex regulatory requirements, adapting to local business practices, and addressing cultural differences. However, with careful planning and strategic insights, these challenges can be effectively mitigated.

Cultural Nuances

Understanding the cultural nuances of the UK workplace is vital for fostering productive relationships with employees. Britons value professionalism, punctuality, and a strong work ethic. Additionally, a hierarchical structure often prevails in traditional workplaces, emphasizing respect for authority and clear communication channels.

Employment Contracts in the United Kingdom

Minimum Wages & Salaries

Employers in the UK must adhere to statutory minimum wage requirements, ensuring fair compensation for employees. Salaries vary based on factors such as industry, location, and level of experience.

Probation period

Typically, probationary periods in the UK range from one to six months. During this time, employers assess the suitability of new hires, while employees familiarize themselves with the role and company culture.

Severance Pay

While there is no legal requirement for severance pay in the UK, some employment contracts may include provisions for redundancy or severance packages based on tenure and circumstances surrounding termination.

Termination Requirements

Termination of employment in the UK is subject to various legal considerations, including notice periods, disciplinary procedures, and adherence to fair dismissal principles. Employers must follow due process and provide valid reasons for termination to avoid potential legal ramifications.

Notice Period

Employers are required to provide employees with notice periods before termination, the duration of which depends on factors such as length of service and contractual agreements.

Everything you need to hire in the United Kingdom

Leave Policy

Annual Leave:

Employees in the UK are entitled to a minimum of 28 days of paid annual leave, inclusive of public holidays.

Parental & Maternity Leave:

Expectant parents in the UK are entitled to statutory maternity and paternity leave, ensuring job security and financial support during this significant life event.

Sick Leave in the United Kingdom:

UK employers must provide paid sick leave to employees, with specific entitlements outlined in employment contracts or statutory regulations.

Statutory Time Off

Employees are entitled to public holidays as per statutory regulations, although additional holiday entitlements may vary based on contractual agreements.

There are 8 bank holidays in England and Wales, 9 in Scotland, and 10 in Northern Ireland.

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

Working hours40 hours per week

Holidays per year 13

Minimum wage per month None

Annual vacation leave (min)25 days

Parental Leave 480 days per child

Competitive Benefits Package in the United Kingdom

PamGro allows you to provide localized benefits for employees in the United Kingdom within minutes.

Health Insurance

Relationship Manager

Vision Insurance


Pension or 401(K)

Relationship Manager

Dental Insurance

Relationship Manager

Life and Disability Insurance


Payroll & Taxes in the United Kingdom

Employer Payroll Contributions
3.00% Workplace Pension (applied on income between £533 and £4,189.17 per month at minimum)
0.5% Apprenticeship Levy (applied on large enterprises)
13.80% National Insurance (NI) (for income above £1,048)
Total Employers Cost
Employee Payroll Contributions 
5.00% Workplace pension (applied on income between £533 and £4,189.17 per month at minimum)
National Insurance (NI) (for income between £758 and £4,189)
National Insurance (NI) (for income above £4,189)
15.00% Total Employee Cost

Taxes in United Kingdom

Employee Income Tax
0% Up to 12,570 Annually
20% 12,571-37,70o Annually
40% 37,701 – 125,140 Annually
45% Over 125,140 Annually

Calculate the payroll of an employee in The United Kingdom?