Umbrella Tax Reform 2026
From April 2026, the new Umbrella Company Regulations have shifted the burden of risk, placing joint and several liability for unpaid income tax and National Insurance contributions (NICs) directly onto recruitment agencies.
Learn how to minimise your risk & maximise compliance.
Minimise Risk – Maximise Compliance
- Build a Compliant PSL – from April 2026, ensuring your Preferred Supplier List (PSL) is compliant will be critical to safeguarding your agency from financial and legal risks.
- Audit & Assess – conduct thorough due diligence on all Umbrella providers, ensuring compliance with PAYE regulations and eliminating hidden risks.
- Ongoing Monitoring – implement proactive systems to regularly audit suppliers, maintain documentation, and ensure adherence to compliance standards.
- Streamlined Partnerships – rationalise your PSL to a manageable number of trusted, well-audited partners, reducing complexity and improving oversight.
Simplify Operations & Cost
A streamlined model means:
- One provider, one weekly invoice – reducing administrative overhead and improving efficiency.
- Attractive commercial offerings – maintain rebates or receive services at no additional cost.
- Continuous employment for contractors – simplifying contract transitions, reducing admin, and offering valuable employee benefits like salary sacrifice options.
Future-Proof Your Business
If your long-term strategy involves bringing employment in-house, Workwell Contractor Solutions can support you with a seamless outsourcing proposition.
- Seamless Back Office – We manage the back-office payroll and employment administration, helping you transition to an employed model when the time is right – removing the burden and risk from your agency.
- Real-time Monitoring – Our partnership with SafeRec provides real-time monitoring, forensic auditing of all payslips, and cross-referencing with HMRC to ensure 100% compliance.
The SafeRec Partnership
This collaboration reinforces our commitment to transparency, industry leadership, and trust, ensuring your business remains protected and fully compliant as new legislation rolls in. SafeRec is a trusted certification with advanced AI technology backed by the Workwell brand and supported by our reputation.
How SafeRec Works for You
- Real-time Compliance – Automated compliance monitoring – ensuring all payments meet HMRC standards.
- Forensic Payslip Audits – Protecting both agencies and contractors from non-compliance.
- Instant Key Information Documents (KIDs) Generation – Reducing administrative workload and improving transparency.
- Fully Auditable Compliance Record – Giving agencies complete oversight and evidence of due diligence.
Latest Umbrella Company Regulation News
