Hire and pay employees in The United Kingdom, hassle-free
With Deel, your business can easily hire employees in The United Kingdom. No more worrying about local laws, complex tax systems, or managing international payroll. Deel takes care of everything in 150+ countries. The average onboarding time frame in the The United Kingdom is 7 days with Deel.
Onboard, pay and manage employees in The United Kingdom with Deel
Usually, to hire in The 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. Deel lets you hire employees in The United Kingdom quickly, easily, and compliantly. We even automate tax document collection, payroll, benefits, and more. For your existing direct employees, we can manage your entire payroll operation from end-to-end.
Currency Pound Sterling (GBP)
Capital London
Official language English
Payroll cycle Monthly
All the necessary benefits for The United Kingdom built right in
Deel allows you to provide localized benefits for employees in The United Kingdom within minutes. All in one manageable online dashboard.
- Employers Liability Insurance
- Professional Training
- State Pension Fund
- Private Healthcare - Unisure (optional)
- Private Healthcare - Freedom (optional)
- National Insurance (Social Security)
- Private Healthcare - Allianz (optional)
- Pension benefits - Penfold (optional)
- Life Insurance - Allianz (optional)
- Private Life Insurance - Canada Life (optional)
Our quickstart guide to hiring in The United Kingdom
Navigate the tabs below to learn everything you need to know about hiring an employee in The United Kingdom
Minimum Wage Requirements
As of April 2025
As of April 1 2024
National Living Wage
£12.21 per hour
£11.44 per hour
Full Time Employees (Monthly)
£2,116.40 per month
£1,982.93 per month
Full Time Employees (Annual)
£25,396.80 per year
£23,795.16 per year
18-20 year olds
£10.00 per hour
£8.60 per hour
16-17 year olds
£7.55 per hour
£6.40 per hour
Individual Income Tax
The individual income tax ranges from 0% to 45%. Income tax is calculated according to progressive rates. Multiple additional factors may impact overall rates such as the household status and the number of children.
| Gross Annual Income | Tax Rate (%) |
|---|---|
| Up to £12,570 | 0% |
| £12,571 - £50,270 | 20% |
| £50,271 and £150,000 | 40% |
| Over 150,000 | 45% |
There are slightly different tax rates and banding in Scotland, however, this is all taken care of by the tax authorities. Employees based from a Scottish address will have a slightly different tax code that will enable the correct taxation to be applied.
Payroll Cost
The employer cost is generally estimated at 18.5% of the employee salary.
- National Insurance Contributions - 15%
- Mandatory Private Workplace Pension - 3%
- Apprentice Tax Levy - 0.5% of the employee's (NICable) salary
Employer National Insurance contributions are calculated on the portion of employee’s salary over £417 per month. The minimum employer contribution for the mandatory private workplace pension is 3%, however, the rate can be increased.
The apprentice tax levy is calculated on the employee’s NICable salary.
Optional and Conditional Costs:
- Optional Private Health Insurance
- Single employee: GBP 67.70
- Employee + children: GBP 98.55
- Couple: GBP 129.40
- Family: GBP 160.25
- Optional Life Insurance - GBP 10, GBP 20, GBP 30 or GBP 40
- Private Health Insurance Admin Fee - USD 15 per invoice with Health Insurance
These costs are provided as estimates and are intended solely for general informational purposes. To fully comprehend all associated costs and fees related to the terms of any employment agreement for this country, please contact our Sales team for a quote.
Overtime Pay & Maximum Hours
Standard working hours are 8 hours per day, 40 hours per week. The standard work week is from Monday to Friday. Overtime payment is not mandatory, however, an employee's average pay for the total hours they work must not fall below the National Minimum Wage.
Download the complete guide to hiring in
Hiring in The United Kingdom, hassle-free
With Deel, your business can easily hire employees in The United Kingdom with our EOR solution. If you have an entity, our Global Payroll solution takes care of payroll and compliance for your direct employees. Our 250+ in-house experts handle everything from managing local laws, complex tax systems, or your payroll in The United Kingdom and 150+ countries.
Management fee
Starting at
$599
/month
Estimated Employer Cost
17.3%
of employee salary