Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Economics, government & businessLatest NewsPay & benefitsSick pay

Budget will plug offshore payroll NI loophole

by David Challinor 19 Mar 2013
by David Challinor 19 Mar 2013

The latest Budget will close a loophole that currently allows businesses to use offshore payroll schemes to dodge £100 million annually in National Insurance payments and denies employee rights such as statutory sick pay and maternity leave.

The decision was signalled by Danny Alexander, chief secretary to the Treasury, ahead of Wednesday’s Budget. Alexander revealed that he had been alerted to the loophole by one worker who approached him at Inverness Airport, although he insisted the anomaly was already under investigation by officials.

“It is not just about the tax we get in, it is also the case that many employees will not know they are paid in this way,” he told BBC Radio 4’s Today programme.

“If their employer is not paying employer’s National Insurance, unbeknownst to them, they may not then be entitled to statutory maternity pay if they become pregnant, they may not be entitled to statutory sick pay if they fall ill.”

Around 100,000 employees are understood to be paid through offshore payroll services established in tax havens such as Jersey and Guernsey, and are possibly ineligible for sick pay and other benefits through the practice.

How does an employer determine an employee’s right to statutory maternity pay?

Which individuals are excluded from the right to claim statutory maternity pay?

How is statutory maternity pay calculated?

Avatar
David Challinor

previous post
Seven reasons why HR needs to think internationally
next post
Mixed reaction to new childcare plan

You may also like

MP demands timeline on carer’s leave legislation

13 May 2022

Employment tribunal: use of word ‘bald’ can amount...

13 May 2022

Rees-Mogg under fire from civil service leader over...

13 May 2022

Prime minister steps up calls for 90,000 civil...

13 May 2022

Spain plans menstrual leave for painful periods

13 May 2022

‘Small spike’ in minimum wage underpayment among 20-24...

13 May 2022

Tesco to pioneer office space in local stores

13 May 2022

How employers can support women during the HRT...

13 May 2022

What it really means to be mentally fit

13 May 2022

What is employee wellbeing? Gethin Nadin talks to...

13 May 2022
  • What it really means to be mentally fit PROMOTED | What is mental fitness...Read more
  • How music can help to ease anxiety at work PROMOTED | A lot has happened since March 2020, hasn’t it?...Read more
  • Why now is the time to plug the unhealthy gap PROMOTED | We’ve all heard the term ‘health is wealth’...Read more

Personnel Today Jobs
 

Search Jobs

TOPICS

Economics, government & business
Employee Relations
Employment law
Equality & diversity
Global HR
HR practice
HR strategy
Learning & training
Occupational health
Pay & benefits
Recruitment & retention
HR Tech
Wellbeing
All HR topics

WHAT’S HOT

Apprenticeship levy
Brexit
Covid-19 coronavirus
Gender pay gap reporting
Gig economy
Holiday pay
HR tech
IR35
Immigration
People analytics
Zero-hours contracts

JOBS

Post a job
Why advertise with us?
Change Management
Compensation & Benefits
Diversity & Inclusion
Employee Relations
Employment Law
Health & Safety
HR (General)
HR Business Partner
HR Director
HR Consultant
HR Shared Services
HR Systems
People Analytics
Learning & Development
Training
Occupational Health
Organisational Development
Payroll
Performance & Engagement
Recruitment & Resourcing
Talent Management
Wellbeing
Workforce Planning

ABOUT

About Personnel Today
Contact us
Advertising opportunities
Features list 2022
RSS feeds
Advertising specifications
Email Newsletters
Cookies policy
Privacy policy
Terms and conditions

The Personnel Today Awards
The RAD Awards

Employee Benefits
Employee Benefits Awards
Employee Benefits Live

Forum for Expatriate Management

OHW+
OHW+ membership

Whatmedia

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+