Employee benefits in the
UK

SALARY PAYMENT IN British Pound (GBP, £)

CONTRACT LANGUAGE English

PAYROLL TAX 8.25%

PAYROLL CYCLE Monthly

TIME TO HIRE 12 hours
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Horizons-owned entity with local country experts in Manchester.

We offer fair, scalable, and transparent pricing on UK PEO service. Contact us for a cost breakdown

End service in the UK with no additional penalties or fees.

Complex UK pension calculations made simple with Horizons.

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Healthcare in the UK

Healthcare in United Kingdom is covered by the National Health Service (NHS). Employers can offer private healthcare as a benefit but there is no statutory requirement to provide any healthcare benefits as employees receive comprehensive healthcare under the NHS.

Private healthcare is a popular employee benefit in the UK, as it allows for shorter waiting times for medical appointments, more choice and access to specialists and access to private hospital rooms. It can be expensive, but the employee can be enrolled in a salary sacrifice scheme to offset the cost.

Pensions in the UK

Employees in the United Kingdom receive a state pension at retirement age (currently 66) based upon their National Insurance Contributions (NIC). Employers are also required to provide a private pension plan and make contributions of at least 3% of an employee’s salary. Employees must pay in a minimum of 5% of their annual salary, but the maximum tax-free amount is £40,000 per year.

Employees may opt-out of the workplace pension, but the default must be auto-enrolment. This means that each employee is opted-in and must complete a form to opt-out.

Disability in the UK

Disability is covered under the social care scheme in the United Kingdom. People who are unable to work long-term due to disability can claim additional government benefits. Employees receive free treatment for chronic/long-term conditions under the NHS. In some instances employees with a disability may qualify for Access to Work to support them with. This can include British Sign Language Interpreters to assist with job interviews and support workers.

Employees who are unable to work for a period of time due to illness are entitled to Statutory Sick Pay (SSP) which pays a minimum of £99.35 per week for a minimum of 28 weeks. To claim this, employees must provide a medical certificate after 7 days of absence. However, most employers pay a higher amount of sick pay than the statutory minimum.

Standard practice is:

0 to 20 days = 100% salary
From 21st day to 40th day = 50% salary
From 41st day to 140th = SSP applies.

Unemployment in the UK

People who are unable to find work in the UK can usually claim Universal Credit, which is a monthly payment to cover living costs. People claiming Universal credit for unemployment are usually expected to be available for work and actively seeking employment.

Hiring in the UK, Made Easy

Your business can easily hire employees in the UK without opening a local entity. We handle local employment law, complex tax regulations, and international payroll in 180+ countries worldwide. All you need to do is focus on your business.

FAQs

What employee benefits are mandatory in the UK?

The following employee benefits are mandatory in the UK:

a minimum of 20 days holiday plus bank holidays (or alternative days if they are expected to work bank holidays).
a workplace pension
maternity/paternity pay.

What employee benefits does Horizons cover in the UK?

We can offer private healthcare benefits: Horizons Health by SafetyWing® and a pension scheme with a government-funded pension provider (NEST).

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"I truly appreciated the thoroughness and the professionalism of Horizons personnel while we hired internationally with them. When they advised our international expansion, they spoke confidently and were knowledgable on all subject matters pertaining to international employment."

Gary PaskyVice President of Software Development

"On deciding to begin commercial activities in Asia Pacific, we needed a provider to handle the employment and remuneration of our workforce. With Horizons the result was fast, efficient, and fit-for-purpose. We recommend Horizons as an EOR provider.”

Chris MorrellManaging Director

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Horizons has been very effective in providing our company support in all the administrative procedures, sometimes complex, required by the Singaporean administration.

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Employee benefits in the
UK

Healthcare in the UK

Pensions in the UK

Disability in the UK

Unemployment in the UK

Hiring in the UK, Made Easy

FAQs

Success stories from businesses we’ve helped enter and grow in new markets.

Client Testimonials

Hire Anywhere. Today.

Employee benefits in the UK

Healthcare in the UK

Pensions in the UK

Disability in the UK

Unemployment in the UK

Hiring in the UK, Made Easy

FAQs

Success stories from businesses we’ve helped enter and grow in new markets.

Client Testimonials

Hire Anywhere. Today.

Employee benefits in the
UK