Today FCSA met with HMRC and HMT to discuss the proposed Umbrella Regulation.
The policy team’s proposal, which we must stress is still subject to the Exchequer Treasury accepting it, is leaning towards a joint and several liability approach. This means:
- The employer’s reference number will remain with the Umbrella company,
- but the top/primary agency (and if no agency, the end client) will remain accountable should a failing in tax liability occur. This will be a strict liability with no statutory excuse.
This suggested approach will be confirmed on ‘L-day’ which we are led to believe is mid-July, as always we will keep you posted.