Q1 2024 in review compliance and payroll news

In the recent Spring Budget, the UK government announced several significant adjustments affecting employment law and payroll. Our compliance and payroll team summarised the key changes on our website and as we look forward to Q2 we have included a summary of the most important dates for your diary below.

In the 2024/2025 tax year, the government announced during the Autumn Statement it’s removing the 21-22 age bracket so employees aged 21 and over, must receive the National Living Wage. The rate increases from £10.42 to £11.44 per hour.

The main rate of primary Class 1 National Insurance contributions will be cut by 2 percentage points from 10% to 8%. The main rate of Class 4 National Insurance contributions will also be cut from 8% to 6%.

HM Government is making changes to the way Paternity Leave and Pay can be claimed and taken, which will make it more flexible for fathers and partners to access.

Employers will need to comply with a new duty to take reasonable steps to prevent sexual harassment of employees. Under the Act, tribunals will have the power to increase compensation by up to 25% if it finds that an employer has breached this duty.

Calculating PAYE liabilities in cases of non-compliance for off-payroll working (IR35).

How to help your workers steer clear of tax avoidance.