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Employer of record in United Kingdom

33 sourced figures on hiring in United Kingdom, drawn from 7 sources and normalized for comparison: statutory rules, employer cost and exactly what an EOR covers locally. Every figure is dated.

ISO GBRegion EuropeCurrency GBPLanguages EnglishVerified 2026-10-16

Hiring here: moderately complex, mid-range on cost, and fast to hire via EOR.

cost of employment
MODERATE
32.4% tax and mandatory contributions wedge, 25% corporate tax
ease of exit
EASY
light worker protection (1.90 / 6)
speed to hire
DAYS
59 EOR providers, from $199/mo
Employer burden rank
statutory employer burden: cost, severance, notice
#79 of 192
Each band is derived from the 33 sourced fields below and recomputed on every refresh. See the methodology.
Statutory snapshot

Employer of record in United Kingdom: the statutory snapshot

The headline employer costs, pay floor and worker protections for hiring in United Kingdom through an employer of record, each figure sourced and dated. 59 EOR providers cover United Kingdom.

Minimum wage2,203/moNational government, 2026-04-01
Employer social security15%National government, 2026-09-12
Tax and mandatory contributions wedgeOECD, taxes plus non-tax compulsory payments such as mandatory private pension and health contributions32.4%OECD
Corporate tax25%OECD, 2026-01-01
Average income tax17.55%OECD
Notice period5.3 weeksNational government, 2026-09-12
Severance5 weeksNational government, 2026-09-12
Annual leave (minimum, once eligible)28National government, 2026-09-12

As of 2026-10-16. Each value is the winning figure from primary and harmonized sources, resolved by a documented priority chain. Full record with provenance below.

Reading the data

What the figures say about United Kingdom

The statutory minimum wage in United Kingdom is 2203 per month, set against an average monthly wage of employees of GBP 3157 per month and an average annual wage of $66299 per year. On top of pay, employers owe a 15% social security rate and employees pay 8%, while the tax and mandatory contributions wedge stands at 32.4%. Ending a contract carries a statutory severance of 5 weeks and a statutory notice period of 5.3 weeks, and employment protection scores 1.90 on the 0-6 scale, with 1.74 for regular contracts and 0.40 for temporary ones. Leave entitlements include 28 days of statutory annual leave, 8 public holidays, 52 weeks of maternity leave, 2 weeks of paternity leave and 18 weeks of parental leave. Payroll runs on a monthly cycle, and no 13th salary is required. Actual weekly hours worked average 35 hours per week, which fits with 1533 hours per year of average annual hours worked.

Written from the 31 sourced figures on this page and regenerated whenever the data changes. Last generated 2026-10-04. How our data works is on the methodology page.

Where to start

Three ways to hire in United Kingdom

Own entity

You are the employer. Lowest per head cost at scale, months to establish.

Best for large, permanent headcount.
EORfastest

You direct the work, the provider's local entity is the employer on paper. Compliant in days.

See the 59 providers below โ†“
Best for 1 to 50 hires, for speed, or to test a market.
Contractor

Not your employee. Fastest and cheapest, with misclassification exposure.

Best for genuinely independent, short term work.
Compare entity setup cost against EOR fees for United Kingdom โ†’

The full record

Every figure behind the snapshot

Not a guide, a record: 33 figures for United Kingdom from 7 sources, last refreshed 2026-10-16. Each value carries its source and the date it was pulled. Hover any provenance tag for the full chain.

employment & pay8 fields
Minimum wage
2,203/mo
National government ยท 2026-04
Average monthly wage
GBP 3,157/mo
ILOSTAT ยท 2025-01
Average wage
$66,299/yr
OECD ยท 2025-01
13th salary
None
National government ยท 2026-10
Payroll cycle
Monthly
Perplexity (AI gap-fill) ยท 2026-01
Hours worked
1,533 hrs/yr
OECD ยท 2025-01
Statutory weekly hours
48 hrs/wk
National government ยท 2026-09
Actual weekly hours
35 hrs/wk
ILOSTAT ยท 2025-01
cost & taxes7 fields
Employer social security
15%
National government ยท 2026-09
Employee social security
8%
National government ยท 2026-10
Tax and mandatory contributions wedgeOECD, taxes plus non-tax compulsory payments such as mandatory private pension and health contributions
32.4%
OECD ยท 2025-01
Corporate tax
25%
OECD ยท 2026-01
Average income tax
17.55%
OECD ยท 2025-01
Top income tax rate
45%
PwC Worldwide Tax Summaries ยท 2026-07
VAT / GST
20%
PwC Worldwide Tax Summaries ยท 2026-07
termination5 fields
Protection (EPL overall)
1.90 / 6
OECD ยท 2025-01
Protection (regular contracts)
1.74 / 6
OECD ยท 2025-01
Protection (temporary contracts)
0.40 / 6
OECD ยท 2025-01
Severance
5 weeks
National government ยท 2026-09
Notice period
5.3 weeks
National government ยท 2026-09
leave5 fields
Maternity leave
52 weeks
National government ยท 2026-09
Paternity leave
2 weeks
National government ยท 2026-09
Parental leave
18 weeks
National government ยท 2026-09
Annual leave (minimum, once eligible)
28
National government ยท 2026-09
Public holidays
8
National government ยท 2026-09
labour market8 fields
Unemployment
4.9%
OECD ยท 2026-01
Inflation
3.88%
World Bank Open Data ยท 2025-01
GDP per capita
$57,602
World Bank Open Data ยท 2025-01
GNI per capita
$54,550
World Bank Open Data ยท 2025-01
Labour force
35.4M people
World Bank Open Data ยท 2025-01
Collective bargaining coverage
40.2%
OECD/AIAS ICTWSS ยท 2024-01
Union density
22%
OECD/AIAS ICTWSS ยท 2024-01
Retirement age
67 yrs
National government ยท 2026-09
Salary by occupation

Average monthly earnings in United Kingdom by occupation (2025)

Gross monthly earnings of employees per ISCO-08 major occupation group, in GBP โ€” the official ILOSTAT survey figures, not estimates. Use them to sanity-check an offer before an EOR quote turns it into total employer cost.

Occupation groupMonthly (GBP)โ‰ˆ USD
All occupations3,157$4,157
Managers ยท ISCO 14,576$6,025
Professionals ยท ISCO 23,871$5,097
Technicians and associate professionals ยท ISCO 33,168$4,171
Clerical support workers ยท ISCO 42,280$3,003
Service and sales workers ยท ISCO 51,953$2,572
Skilled agricultural, forestry and fishery workers ยท ISCO 62,152$2,833
Craft and related trades workers ยท ISCO 72,974$3,915
Plant and machine operators and assemblers ยท ISCO 82,733$3,598
Elementary occupations ยท ISCO 91,504$1,980

Source: ILOSTAT (EAR_EMTA, employees, both sexes), reference year 2025. Survey earnings differ from statutory minimums above.

Take-home estimate

What the average salary takes home in United Kingdom

The employee keeps an estimated 74% of gross at the average wage. For an employer, this is the gap between the offer you quote and what your hire actually receives.

Average gross monthly earnings (2025)GBP 3,157
Employee social contributions (8.0%)โˆ’ GBP 253
Income tax (avg. effective 17.6%)โˆ’ GBP 554
Estimated monthly take-homeGBP 2,350

Illustration at the ILOSTAT average wage using statutory rates (National government; OECD) applied to gross pay. Individual allowances, deductions and regional rates vary โ€” not tax advice.

// recent updates

What changed in United Kingdom

Checked against official sources on 16 October 2026

No rule changes recorded since we began logging them.

Every figure is sourced and dated. How we verify the data โ†’

The differentiator

What an EOR handles in United Kingdom

An EOR removes the entity and the payroll machinery. It does not remove your obligations as the people manager.

obligationeor coverswhat that means for you
Legal employer of recordโ— fullThe EOR's local entity is the employer on paper. No entity setup required.
Payroll, tax & social securityโ— fullGross-to-net, statutory withholding and employer contributions remitted locally. Employer social security here is 15%.
Compliant local contractโ— fullDrafted to local labour law and language requirements. Here statutory notice is 5.3 weeks and the wage floor is 2,203/mo.
Statutory leave & public holidaysโ— fullAccrual, tracking and payment run through the local payroll the EOR operates. 28 annual leave, 8 public holidays and 52 weeks maternity leave.
Statutory severance on exitโ— partialThe EOR computes and processes it, but the cost is billed to you (often pre-funded). Statutory severance here is 5 weeks.
Termination decision & riskโ— partialThe EOR runs the legal process; the business reason, timing and exposure stay yours. Worker protection here scores 1.90 / 6 on the OECD index.
Work permits / visas (foreigners)โ— partialSome providers sponsor, many don't. Confirm per provider in the table below.
Performance managementโ— noneDay-to-day direction, reviews and PIPs are entirely on your side.
Equity / ESOP administrationโ— noneCross-border equity handling sits outside standard EOR scope.

Provider ร— country

Who can employ in United Kingdom

58 providers operate an EOR in United Kingdom, ranked by Select Score.

providerfrom / moselect score
Pebl (formerly Velocity Global) logoPebl (formerly Velocity Global)SELECT PICK$399/mo80
Multiplier logoMultiplier$459/mo ยท Core ยท billed annually80
Payoneer Workforce Management logoPayoneer Workforce Management$199/mo79
RemoFirst logoRemoFirst$199/mo78
Remote logoRemote$699/mo76
Globalization Partners logoGlobalization Partners$599/mo75
Remote People logoRemote People$199/mo74
Deel logoDeel$599/mo73
Show all 58 providers โ†“
Rivermate logoRivermate$319/mo72
Borderless AI logoBorderless AI$579/mo71
Playroll logoPlayroll$399/mo71
Papaya Global logoPapaya Global$499/mo68
Native Teams logoNative Teams$99/mo67
Lano logoLanoโ‚ฌ499/mo66
Teamed logoTeamed$599/mo66
Rippling logoRipplingQuote66
Thera logoTheraQuote65
Oyster logoOyster$699/mo65
Asanify logoAsanifyQuote65
Atlas HXM logoAtlas HXM$599/mo62
Wisemonk logoWisemonk$99/mo62
Foxhire logoFoxhireQuote61
PamGro logoPamGroยฃ100/mo61
GoGlobal logoGoGlobalQuote60
Dhi ADT logoDhi ADTโ‚ฌ449/mo60
EOR UK logoEOR UK$199/mo60
Aspirock logoAspirockQuote59
WTS Energy logoWTS EnergyQuote59
Agility EOR logoAgility EOR$599/mo59
HSP logoHSPQuote59
Mercans logoMercansQuote59
Agile HRO logoAgile HRO$599/mo58
Nathan HR logoNathan HRQuote57
EuroDev logoEuroDevQuote57
Plane logoPlane$499/mo56
Alariss logoAlarissQuote56
NNRoad logoNNRoadQuote56
TCWGlobal logoTCWGlobalQuote56
Justworks logoJustworksQuote55
Gusto logoGustoQuote49
58 providers operate an EOR in United Kingdom, ranked by Select Score. Price is each providerโ€™s lowest published EOR rate (global, not country-specific).
See the ranked best EOR in United Kingdom โ†’
Scored by the EOR Select rating systemSee the methodology โ†’Built and maintained by Robbin SchuchmannUpdated 2026-10-16

Comparing EOR options for United Kingdom?

Run a side-by-side on the providers that actually operate there.

Open the matrix โ†’