CIPP future of payroll research report 2022

If payroll teams start to take on new responsibilities, as indicated above, payroll professionals may find themselves needing to learn new skills and increase co-operation with other departments. The prediction of increased audit and compliance activity is particularly noticeable ( 75% ), which suggests that payroll professionals are experiencing an increasing need for legislative expertise. When it comes to providing payroll services in a bureau environment, this historically tends to be part of a broader service. It wasn’t uncommon for the payroll service to be a cost undertaken by the bureau for the sake of attracting and retaining clients rather than a profit generator. However, when asking bureau respondents about profits, the survey found that only 19% said they’re not making a profit. Even from those, 36% confirmed the loss is decreasing. 55% of those who are making a profit from payroll added that the profit is increasing. Based on these results, it would be fair to state that, as payroll continues to bring more profits to service providers, it will gain an even stronger voice within wider strategic discussions. The future will introduce more versatility to the role of payroll professionals. The question regarding how strongly respondents agree that payroll legislation is increasing in complexity resulted in strong agreement. It was made apparent during the pandemic that the sudden introduction of new legislation can instantly create a shift in the workload for payroll teams. The government’s announcement regarding the National Insurance primary threshold changes earlier this year was a prime example of how payroll legislation changes can be unpredictable and imminent.

A consultation paper published in July 2019 discussed the government’s intention to merge the three current enforcement bodies to form one single enforcement body. Those three bodies are:

● Her Majesty’s Revenue and Customs’ (HMRC’s) National Minimum Wage Enforcement ● The Gangmasters and Labour Abuse Authority ● The Employment Agency Standards Inspectorate.

The aim of this is to simplify the process for getting help and guidance for both employers and workers, and it’s been billed as a ‘one- stop shop’ for enforcement. Hoping for improved communication, clearer guidance and consistency in approach, 58% of respondents feel that the single enforcement body will positively impact the role of payroll professionals.

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