Have Your Say: Regulation of umbrella companies

The Conduct Regulations currently set standards for recruitment agencies and employment businesses. They include rules on:

• Transparency of pay and terms for agency workers
• Restrictions on charging work-finding fees
• Clear information about contractual arrangements
• Protection from being forced into unsuitable arrangements

This consultation is looking at what changes to the Regulations should be considered in order to modernise the rules to reflect the realities of today’s labour market. 

At present, umbrella companies are not directly covered by these Regulations. This long-awaited consultation is also considering whether they should be. The consultation document says this could help prevent “hidden costs, unclear deductions and a lack of clarity about their rights and pay” for around 700,000 umbrella company workers. 

Your experience is important

If you work (or have worked) through an agency or umbrella company, this is your opportunity to share your views on things like: 

• Whether your pay and deductions were clearly explained
• Whether you felt pressured into using a particular provider
• Any issues with contracts, holiday pay or switching providers
• What protections you think are missing

Real-life examples help policymakers understand and respond to what is actually happening in the market. Even a short online response explaining your experience can be very impactful and can help shape future policy.  

Full details of the consultation, including how to respond, are available on GOV.UK. Consider taking part — and encourage colleagues to do the same. The deadline is the 1 May 2026.