PROFESSI NAL in Payroll, Pensions & Reward Official publication of The Chartered Institute of Payroll Professionals Issue 113 September 2025 Enhancement through education
The future’s here, now How the once seemingly distant payroll of the ‘future’ is actually here right now
Payroll: waves of change
Every day’s a school day Why continuous education is imperative for payroll professionals
Read about the latest flurry of changes en route to impact the payroll industry
CIPP UPDATE | POLICY HUB | PERSONAL DEVELOPMENT
cipp.org.uk
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“Learning never exhausts the mind” Leonardo da Vinci
Editor’s comment
Hello payroll professionals, and happy September! This is our month – the time to celebrate National Payroll Week, and recognise all the amazing individuals who make up our ever-growing payroll family. I hope you have plenty of exciting activities planned within your organisations, to share loudly and proudly just how vital our profession is and to shine a spotlight on everyone who works within it.
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In this issue, we focus on ‘ Enhancement through education ’. There are so many fantastic opportunities now available for payroll professionals to learn and grow, with a wide range of exciting products and courses available. Turn to page 42 to discover how payroll qualifications and training can drive innovation across payroll, pensions and reward. But education isn’t just about formal learning. Payroll professionals also need to stay up to date with the constant stream of changes impacting our industry. This is especially relevant now with the latest news surrounding the Employment Rights Bill. Check out our hot topic article on page 64 to get all the details around what this means for payroll and how to prepare. Also, on page 18, you’ll find an insightful feature on joint and several liability and how it could potentially affect you in your role. And I couldn’t wrap up this issue’s message without mentioning the perceptive article on page 54 which explores just how effective artificial intelligence can be for payroll and human resources professionals, but only when it’s properly understood and correctly applied, and not just used to try to cut costs within organisations.
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Lora Murphy MCIPPdip (editor@cipp.org.uk) Editor
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18 - Umbrella company reforms – what next? By Rebecca Seeley Harris
42 - Unlocking payroll potential through education By Claire Warner
54 - Putting AI to work – the brave new world of smarter payroll By Steve Elcock
64 - Hot topic – payroll: the next wave of changes By Samantha O’Sullivan
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
Chair’s message
Chief Executive officer Jason Davenport MCIPP MloD CIPP Board Of Directors Louise Gray ChMCIPPdip Stuart Hall MCIPPdip Dianne Hoodless MSc ChFCIPP FHEA Editor Lora Murphy editor@cipp.org.uk Advertising Daniel Cull and Lexi Evans 07795 652645 | commercial@cipp.org.uk Design James Bartlett and Nicole Davis design@cipp.org.uk Printing Redactive
Hello September – the month in which we celebrate payroll with National Payroll Week (NPW). This is a great month for connecting, networking, learning and being inspired by our industry. I can’t wait to see all the photos of how you celebrated in a future issue of Professional. Education plays an essential part in ensuring the continual development of payroll professionals. This issue will show you education options and pathways which will lead to promotion and development in the payroll community. With the Government focussed on making work pay, we know there’s much change to come which will impact our payrolls, so keeping ahead of change and making sure we’re offering relevant training and education to support the profession is the number one priority. Education around pay is important from the first day of employment, and our ‘schools project’ to get this onto the national curriculum is really moving forward. Read about what we’re doing in this issue. Remember to use the benefits of your membership and contact us for any of your payroll needs. From education and qualifications to using the Advisory Service, we’re here to help. I look forward to seeing you at our upcoming events, especially our Annual Conference and Exhibition, so please come over and say hello.
Ana Laiu MSc FCIPPdip Brendan Mulkern FCIPP
Brian Sparling ChFCIPPdip Michelle Sutton ChMCIPPdip Cliff Vidgeon BA (Hons) CMA ACG ChFCIPP Clare Warrington MSc FCIPPdip AFHEA
Clare Warrington MSc FCIPPdip AFHEA (clare.warrington@cipp.org.uk) Chair, CIPP
Useful contacts
CEO’s message
Consultancy consult@ippeducation.co.uk 0121 712 1044 IPP Education education@ippeducation.co.uk
I do hope you’ve all had a glorious summer break. Here we go for NPW. I hope you’ve all downloaded your packs, shared with those you work with and are looking forward to an amazing week. This will also include the Payroll Services Summit or ‘PSS’ for our payroll bureau service providers. I’m really looking forward to meeting up with many of you across the week. Here’s to a fun-filled NPW25.
0121 712 1023 Events team events@cipp.org.uk 0121 712 1013 General enquiries enquiries@cipp.org.uk 0121 712 1000 Marketing marketing@cipp.org.uk
I’m writing this message between two key IPPE events which take place in the summer. The IPPE Training and Education Conferences (ITEC) 2025 were delivered both face-to-face and virtually. I’ve been inspired by these fantastic events which are assembled by the education services team with full support from the events team. These conferences are development opportunities for all our tutors and assessors, and I would like to personally recognise all the hard work completed by Joanne Leather, Gemma Mullis and the education services team in creating and delivering such an enriching experience. Everyone in attendance at those conferences is committed to lifelong learning, and for anyone who wants to stay ahead in any professional capacity, a commitment to lifelong learning is a prerequisite. Within the pay professions, change is the one constant. This includes changing legislation, changing policies, changing ways of doing things and constantly changing technology to support how information is shared between systems, both internally and externally. In support of our commitment to helping the next generation with financial awareness education as early as possible, here at the CIPP there’s a schools project underway. This is to develop and share material for school age and college age students, and we’re working hard behind the scenes to make this happen. Please contact me should you have any questions regarding this or indeed, are able to support further in any way. As always, you have my contact details below and I’d be delighted to hear your thoughts.
0121 712 1033 Membership membership@cipp.org.uk 0121 712 1073 IPPE Training training@ippeducation.co.uk 0121 712 1013 cipp.org.uk @CIPP_UK
Trademarks The CIPP logo, the initials ‘CIPP’ and the words ‘Professional in Payroll, Pensions and Reward’ and ‘CIPP Consult’ are trademarks of the Chartered Institute of Payroll Professionals. Copyright: The Chartered Institute of Payroll Professionals 2025. The Chartered Institute of Payroll Professionals, Goldfinger House, 245 Cranmore Boulevard, Shirley, Solihull, West Midlands, B90 4ZL. Switchboard 0121 712 1000
Jason Davenport MCIPP MIoD (jason.davenport@cipp.org.uk) Chief Executive Officer, CIPP
Copyright This magazine is published by The Chartered Institute of Payroll
Professionals in whom the copyright is vested. All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or any means, electronic, mechanical, photocopying, recording or otherwise, without the prior written permission of the publisher. The views expressed in this publication are not necessarily those of the CIPP or the Editor. The information and comment contained in this publication are given in good faith, their accuracy or completeness cannot be guaranteed.
| Professional in Payroll, Pensions and Reward | September 2025 | Issue 113 2
Contents
Interested in writing for our magazine? Please support this magazine so that it can continue to be a part of your membership package. To get involved, contact Lora, at editor@cipp.org.uk.
SEPTEMBER 2025
Reading the magazine gives you one CPD point
REGULARS 01 Editor’s comment 02 Chair and CEO messages 04 CIPP update News and developments 05 My CIPP Event horizon, On your behalf, Payroll news, Advisory Q&As, Spotlight on… 11 Personal development BePayroll 14 Compliance Hear the latest updates from the technical panel, hosted by the
FEATURES - ‘ENHANCEMENT THROUGH EDUCATION’
Safeguarding against national minimum
The latest CIPP technical panel updates: looking forward while also reflecting By Mathew Akrigg
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wage risks By Jeni Morris
Payroll Live North By Sarah Winnett
Embracing the future of payroll, now By Lora Murphy
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22
Feature article – enhancement through education By Jerome Smail
The importance of celebration By Wendy Muirhead
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35
CIPP, and discover what joint and several liability means for umbrella companies
The CIPP schools project By Ellis Rees
Skills gap in payroll: bridging the divide in 2025 By Saskia Hawkins
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32 Feature topic
Learn how to channel your inner ‘payroll monk’ when times are stressful and hear from the author of The Value of Payroll on why organisations should pay more attention to the payroll industry Read all about the theme of the current issue – Enhancement through education – and discover what those in industry think about the opportunities now available due to new education offerings
Understanding the true value of payroll By Hayley Paterson
The payroll monk: cultivating calm in the chaos of deadlines By AJ Jain
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35 Reward
Employment law updates: Charity mismanagement, night shift sleeping and a question of holiday pay By Dan Carder
Payroll – the heartbeat of workplace pensions By Dan Donavon
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54 Technology
How can you adopt artificial intelligence in payroll in a way that adds true value?
58 Pensions
BONUS ONLINE CONTENT
Why the pensions industry must place payroll at the very heart of its processes
24 Advancing payroll education at master’s level By Will Blackshaw
46 Investing in the future By Jenny Docherty 48 Managing apprentices: Five things to know By Danny Done 56 The statement of work: A critical tool when transitioning to a new payroll system By Reuben Hughes
64 Hot topic
26 A day is a day unless it’s split in two: The Dutch Supreme Court clarifies travel- day income sourcing By Matthew Chin Barnes 28 Smarter spending: Why educating your people on expenses pays off By Andrew May 30 Taylor’s Services Ltd v HMRC: A landmark ruling on travel time and NMW By Paul Chamberlain
Learn about the Employment Rights Bill implementation roadmap, and the flurry of announcements which will impact our industry
66 Payroll pets
We say hello to some of your furry friends
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
CIPP UPDATE
update
PAS assessor winner Following our Payroll Assurance Scheme (PAS) assessor meeting in June, we’re delighted to confirm the winner for ‘Client Assessor Feedback of the Year’ is Benjamin Carter MSc FCIPPdip MCMI. He received some great comments from our clients and is a worthy winner of this award. Congratulations, Ben! Want to find out more about PAS? Check out our website here: https://ow.ly/ehem50WuMSn.
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PAS PAS AS PAS PA PAS PAS S PAS PAS PAS PAS P PAS PAS AS PAS PAS P S P P
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Volunteering and charity days In July, the CIPP team volunteered at the Acorns Children’s Hospice and the Wythall Animal Sanctuary in Birmingham to help two important establishments. At the Children’s Hospice, Sam, Dipesh, Lora, Sarah, Zoe, Nicole, James and Terri tidied the outdoor space by cleaning the area up and adding a lick of paint to one of their garden fences. At the Animal Sanctuary, Luke and Natasha helped in the garden by removing weeds and sprucing up the garden. They also had some time to say hello to the fluffy residents. We also hosted another ‘Summer Sizzler’, and all the money raised from barbecue food, a raffle, cake sales and other games was split between our two charities, Acorns Children’s Hospice and the Marine Conservation Society. The fantastic afternoon raised a total of £312.80.
New Fellow member We’re pleased to announce that Marianne Hind BA (Hons) FCIPPdip has gained Fellow membership with the CIPP. Gaining this level of membership is a great achievement and shows Marianne’s dedication to the industry. Congratulations, Marianne!
| Professional in Payroll, Pensions and Reward | September 2025 | Issue 113 4
MY CIPP
Event horizon Your guide to upcoming events and training
Full details of all events can be found at cipp.org.uk/events or you can email events@cipp.org.uk for more information.
New IPP Education Training Courses IPP Education is excited to launch their new training courses in partnership with PayrollOrg. Open now to book onto, these new courses are: US payroll year end, Global payroll management certificate program, Intermediate payroll analytics and Advanced global payroll management certificate program. Starting in September, these new courses are fantastic to upskill your knowledge in global payrolling complexities.
Happy National Payroll Week! As you read this, we’ll either be in the thick of our National Payroll Week (NPW) celebrations or they’ll have just wrapped up. What an exciting time to be part of the incredible payroll industry! This annual event is dedicated to recognising the vital role payroll professionals play in making sure employees are paid accurately and on time, every time. We encourage each of you to reflect on your achievements and, together, we can help raise awareness of just how essential our profession truly is. Throughout the week, the CIPP hosts a wide range of activities, including educational events and workshops, all free and open to everyone, not just our members, to ensure we support every payroll professional out there. We’ll be sharing a full round-up of NPW, along with highlights of how you’ve been celebrating, in an upcoming issue of Professional . So don’t forget to send your photos and stories to Marketing@cipp.org.uk .
HEADLINE SPONSOR
Training courses Take a look at some of our upcoming training courses. Face-to-face courses are highlighted in orange. For a complete list of courses, dates and locations, visit http://ow.ly/iVfT50MU7yr.
COURSE
DATE
LOCATION
COURSE
DATE
LOCATION
15 September
22 September
Online
Online
Automatic enrolment and pensions for payroll
P11D, expenses and benefits
13 October
Online
20 October
Online
03 September
Online
29 September
Online
National Minimum Wage Masterclass Series
Construction industry scheme
08 October
Online
24 October
Online
03 September
Online
Global mobility key payroll issues
30 September
London
17 September
London
08 September
Online
09 September
Manchester
22 September
Online
Payroll update
Introduction to payroll
06 October
Online
07 October
Manchester
21 October
London
16 October
Online
In addition to the upcoming courses above, IPPE offers a range of on-demand e-learning courses, including our brand new Payroll QuickLearn course library. Visit https://ow.ly/Woqx50VcAcL to find out more.
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
POLICY HUB
On your behalf
Welcome to the latest update on what the CIPP’s policy and research team team has been involved in, on behalf of you, our members, and the wider payroll profession, throughout July and August Policy team update
The Policy and Research Team l Mathew Akrigg MCIPPdip MAAT, Policy and Research Officer l Samantha O’Sullivan ChFCIPPdip, Policy and Advisory Lead l Sarah Smith MCIPPdip, Policy and Research Officer.
Sam attended a roundtable discussion hosted by Insider, in partnership with Isio, around ‘Building better workplaces’. You can read the overview here: https:// ow.ly/1nfX50Wtf8z. Sarah delivered a session at the IPPE Training and Education Conference (or ITEC, as we call it) on national minimum wage (NMW) and she loved getting to know our tutors, assessors and moderators a bit better. Consultation and call for evidence (CfE) updates We wanted to provide a summary of our recommendations to the Low Pay Commission (LPC) in our formal response to its 2025 consultation on the future of NMW. The CIPP suggested that: 1. A wider review of employment cost policies needs to be considered moving forward. This is to ensure ever-increasing costs to employers doesn’t impact them so heavily, sometimes meaning they have to make employment cuts or go out of business entirely. 2. The LPC could provide longer approximates of what the NMW and national living wage (NLW) rates would be for future years during the transition period of aligning the 18–20-year-old rate with the NLW over either two or four years. 3. Aligning the 18–20-year-old rate with the NLW over two years is the preferred option to ensure all adults are paid the NLW. 4. Consideration should be given to a further option, which falls in between the two- and four-year period, meaning the rates are aligned within three years. 5. A review of the apprenticeship rate should be undertaken, with the apprenticeship rate only being payable for those people in education (up to 18 years old). It was suggested that a scaled apprentice pay structure should be considered, which would increase over the years in which an employee is undertaking their apprenticeship. 6. There’s an industry desire for the NMW
regulations to be reviewed, so that salary sacrifice pension contributions don’t reduce pay for the purposes of NMW calculations. 7. More publication and clarification around the rules for rounding should be made available, to ensure calculation methods are understood and adhered to. The team has also responded to the Parental leave and pay review: call for evidence as published by the Department for Business and Trade and the Department for Work and Pensions (DWP). Sarah hosted a Think Tank with full, fellow and Chartered members, alongside representatives from DWP. Our members’ views fed into our formal response, which you can read online, at: https://ow.ly/3Kav50QigsG. Forums and working groups The policy team is privileged to sit on several HM Revenue and Customs forums. Sam, Mat and Sarah attend several forums each month. As with events, the forums go quiet over the summer months, which has allowed the team some time back in their schedules to concentrate on preparing for National Payroll Week and our Annual Conference and Exhibition. The team sits on these forums to ensure our members’ feedback is provided at Government level. We’ll always update you on our findings and information provided through these groups via Professional and News Online . If you have any issues you would like to raise at any of the professional forums we sit on, please reach out to the team by emailing us at Policy@cipp.org.uk. The last 12 months The team was recently asked to review how many events we’d attended between July 2024 and June 2025, and we felt it would be nice to share those statistics with you. We have: l presented at 63 events l attended 11 events as delegates l attended 59 Government forums / roundtables. n
BeKnowledgeable series July’s BeKnowledgeable session explored something a little bit different. Sarah is the policy team’s soft skills guru, having worked in several different industries, all of which have required a unique skill set. Sarah has filled her soft skills toolkit to the brim and took lots of personal experiences to the session delivered in July. Keep an eye on your emails and the events pages of the website, as our next series of BeKnowledgeables are taking place on: l 16 October
l 12 November l 10 December.
We keep the topics open, to ensure the team delivers updates on the most relevant areas of importance for our members. Events Throughout July and August, events go quiet to coincide with the summer holidays. However, the team was kept busy upskilling, researching and ensuring the Institute’s views were heard. Mat attended the launch event of The Pensions Review: Final Recommendations from The Institute for Fiscal Studies. You can read about it here: https://ow.ly/ Why850Wtf2Y.
| Professional in Payroll, Pensions and Reward | September 2025 | Issue 113 6
MY CIPP
PAYROLL news
LEGISLATION DAY SPECIAL
NEW
MASTER PAYROLL. STEP BY STEP.
On 21 July 2025, the Government held Legislation Day, or ‘L Day’, which came with a flurry of announcements for payroll professionals to be aware of. See below for a round- up of those things you need to know.
Government announces transformation roadmap The Government has confirmed its plans to transform the tax and customs system, unveiling a comprehensive roadmap which details more than 50 projects aimed at ensuring HM Revenue and Customs (HMRC) becomes a digital-first organisation. You can access the full transformation roadmap here: https://ow.ly/igog50WwNVO.
Making it mandatory for tax advisers to register with HMRC A policy paper (https://ow.ly/ZWQu50Wxjis) and draft legislation (https://ow.ly/8OTb50Wxjj2) have been published which provide details of the plans to make it mandatory for tax advisers to register with HMRC. This follows a 2024 consultation (https://ow.ly/UVPy50Wxjk2) which explored potential options for driving up standards in the tax advice market. This change will take effect from 1 April 2026. Tax advantages of employee car ownership schemes to change From 6 October 2026, changes will be made to employee car ownership schemes, often referred to as ECOS. HMRC has confirmed how benefit in kind rules will be amended so that vehicles provided through ECOS arrangements will be deemed as taxable benefits when made available on restricted terms. To find out more, you can read the draft legislation here: https://ow.ly/hbQ850WxiUb. Other items of interest The other key announcements on the day related to: l umbrella company changes (see the article on page 18 of this issue for more on that or go here: https://ow.ly/qATs50Wxjpp) l the return of The Pensions Commission and review of the state pension age (https:// ow.ly/9Zv050Wxjsq) l closing in on promoters of tax avoidance (https://ow.ly/xHZB50Wxjty) l the Labour Market Enforcement Strategy 2025/26 (https://ow.ly/nM1t50Wxjv3) l enhancing HMRC’s powers to tackle tax advisers who facilitate non-compliance (https:// ow.ly/jQoV50WxjvI).
Introducing Payroll QuickLearn – a collection of bite-sized, on-demand courses that cover key payroll topics. Learn at your own pace and equip yourself with the knowledge to stay ahead and compliant with quick, practical courses, at every level. Coming next: new statutory pay courses.
Diary dates
Happy National Payroll Week!
1-5 September
Visit payrollquicklearn.org.uk or scan the QR to book your courses today
Last day of tax month 5
5 September
First day of tax month 6
6 September
Last day for submitting an RTI EPS to apply to tax month 5 Deadline for payment of PAYE and NICs etc to HMRC’s Accounts Office by non-electronic method Deadline for payment of PAYE and NICs etc to HMRC’s Accounts Office by electronic method
19 September
Scan to book
22 September
Last day of tax month 6
5 October
First day of tax month 7
6 October
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
MY CIPP
The CIPP’s Advisory Service team provides answers to popular questions
Different car arrangements and the rates to pay Q: In our organisation, there are some employees who have a company car, others who receive an annual car allowance for using their own vehicle and others who receive an annual car allowance and contribute via salary sacrifice to a third party for an e-vehicle. What are the correct mileage rates to pay? Are they all paid at the company car rates? A: So, the advisory fuel rates (AFRs) and the approved mileage allowance payments (AMAPs) can be used for vehicles. The correct payment used is determined by who owns (or leases) the vehicle. If the company pays for the lease or owns the vehicle, then the AFRs are used. This is updated quarterly, and the reimbursement of mileage is dictated by the emissions and fuel type. Find out more here: https://ow.ly/fQ1v50Wobf3. If the employee owns or leases and pays for their own vehicle, then the AMAPs are used. You can find out more on this here: https://ow.ly/RAGJ50Wobks. It doesn’t matter if a salary sacrifice scheme is operated, as the employer is paying for the lease of the vehicle. Nor does it matter whether there’s a car or mileage allowance.
Pay as you earn settlement agreement (PSA) marginal tax rates Q: What figures do we base the marginal tax rates on for each employee who has received a benefit under our PSA? Should this be determined by their base annual salary in the tax year or by their actual taxable income? A: PSA calculations are based on an employee’s marginal rate of tax at the end of the tax year. To establish an employee’s marginal rate of tax, you need to take their gross taxable pay plus the value of any benefits provided and then deduct their personal tax allowance according to their final tax code. This manual from HM Revenue and Customs (HMRC) provides further information: https://ow.ly/8ngT50WobqO. Paying school fees for an employee’s child Q: Our organisation has decided to pay school fees for an employee’s child. Could this amount then be deducted from net pay for the employee? Are there any tax implications to this? A: The first thing to establish is who the contract is with, and how the school fees are going to paid. This will then help to determine any reporting requirements. If the contract for the school fees is between the school and the employer, and the employer pays those fees directly, this will be classed as a benefit in kind. This amount must be reported on the P11D or payrolled for tax and the employer must pay Class 1A National Insurance contributions (NICs) on the cost of the fees. If there’s an agreement that the employee will pay towards the cost of the fees, and this is taken from their net
pay, this will reduce the cash equivalent of the benefit (referred to as ‘making good’). However, if the contract is between the school and the employee but the employer pays the fees directly, the reporting requirements are different. The cost of the school fees must be reported on the P11D or payrolled for tax, but Class 1 NICs must be deducted on the amount through the payroll. The employee could agree to pay towards the cost of the fees from their net pay, and this would reduce the cash equivalent of the benefit. If the employee pays the fees and the employer reimburses them, this counts as earnings and would be subject to tax and Class 1 NICs through the payroll. More guidance on this topic can be located here: https://ow.ly/pwlw50WobFr.
Are there any tax implications if a business opts to pay the school fees for an employee’s child?
P45s when employees move to a new company under the Transfer of Undertakings (Protection of Employment) (TUPE) Regulations 2006 Q: A client has employees who are being moved to a new company under TUPE. Do we need to prepare P45s for them? A: Under The Income Tax (Pay As You Earn) Regulations 2003, Regulation 102 states that the transfer of a business
Where different car arrangements are used within a company, what are the correct rates to pay?
| Professional in Payroll, Pensions and Reward | September 2025 | Issue 113 8
POLICY HUB
MY CIPP
is deemed to make the transferee or employer who has inherited the employees a successor business, and, as nobody’s employment has ended, no P45s should be issued. Please see the following link, https://ow.ly/6bfO50Wocpe, from which the excerpt below was taken: “Moving employees to a new payroll under a different employer reference 1. Transfer the payroll records to the new employer reference. 2. Send HMRC a full payment submission (FPS) under the old employer reference – include leaving details, such as pay and tax figures for the year to date. 3. Provide employees who have transferred with details of their total pay and deductions up to the date they moved payrolls – you do not need to give them a P45. 4. Send HMRC an FPS under the new employer reference – read ‘Submit an FPS under a new employer reference’ for more information on what to include. 5. Update your payroll – read ‘What to do on your payroll’ for more information.” Statutory sick pay (SSP) for term- time workers Q: We have an employee who works term-time only but is paid their salary in 12 monthly payments, so there’s no break in their contract. The employee provided a sick note which ran into the Easter holidays. Would the time within the school holidays be classed as absence? Should the hours within this period be deducted from the salary as they normally would be during term time with SSP paid instead, or should the absence come to an end automatically, even though the sick note ran into the holidays? A: Entitlement to SSP will depend on the type of contract the employer has with their educational and term-time workers. Where a contract is ongoing between term time, entitlement to SSP will continue during and after the holiday periods until the end of the period of incapacity for work or until the contract ends, whichever is earlier. You can find this information verified here: https:// ow.ly/foRp50Wof27. An employee’s contract should confirm how much sick pay is, how long it can last and any rules the employer has concerning sick pay. It may be written in the contract that employees receive more than SSP and this can be referred to as company,
contractual or occupational sick pay. Where the employment contract grants entitlement to occupational sick pay, this usually runs concurrently with SSP. Further guidance can be located at https://ow.ly/zlMV50Wof77 and https://ow.ly/vi1X50Wof7J.
DOWNLOAD YOUR PACK NOW
As part of our NPW25 celebrations, our FREE digital packs are now available.
Pack content:
How do you establish payment of SSP to term-time workers during school holidays?
Posters, bunting and flags for use around your workplace
Working from home allowance during maternity leave Q: When someone is taking a period of maternity leave, are they still entitled to the £26 working from home allowance per month, or is this paused for the duration of their leave? A: When an employee is on statutory maternity leave (SML), their benefits are protected, as per Section 75 of the Equality Act 2010. Please see here: https://ow.ly/ zY6j50WrNyY. You then need to examine the guidance in the Employment Rights Act 1996, Section 71. This stipulates that an employee must benefit from all terms and conditions of their employment while on SML, except for basic remuneration (for which, statutory maternity pay serves as a substitute). The employer must keep providing all the benefits that the employee normally receives as part of their job. However, the working from home allowance may or may not be classed as a benefit, depending on the exact circumstances behind it being granted. Further information can be found here: https://ow.ly/fCkw50WrNJg. You should seek advice on the agreement you made when you initially agreed to pay this to the employee. Is this seen as a benefit or is it seen as basic remuneration to help with working from home costs? Any members reading this who claim the home working allowance should take the opportunity to familiarise themselves with the rules behind it, as HMRC is ploughing investment into this area, and checking where home working allowance and tax relief claims aren’t valid. You can see more here: https://ow.ly/g41Z50WrO8K. n
Phone / tablet / desktop / video call wallpapers
E-cards to send to colleagues to show your appreciation
Are there any NMW considerations when recovering an overpayment?
Social media hints and tips
Banners to use on email and social media
Printable sticker templates
Information about CIPP membership benefit packages
Plus much more...
Visit npw.org.uk to download your celebration pack today
Scan to download
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
MY CIPP
MY CIP
Tell us a little bit about your career and background so far. I graduated from the University of Hull in 2023, after spending six months abroad in Baltimore, Maryland. Throughout university, I worked in restaurants and comedy clubs but moved back home in the summer of 2023, where I started
Executive, on the production of the Software Directory , prior to securing the role. And although it gave me an insight into the role, I don’t think it was possible to anticipate just how busy it can be. Due to the nature of events and partnerships, we must act quickly and proactively. I wouldn’t change it for the world – anybody and everybody knows I love to be busy – but it was definitely an unexpected element of the role. Outside of work, what are your interests and hobbies? I spend most of my time at concerts or booking tickets for concerts. I went to my first concert, a Girls Aloud show, at what is now the BP Pulse, and ever since then I don’t think I’ve gone a year without one (not counting the Covid years). If I’m not at a show, I’m usually embarking on a world of small towns and murder mysteries in the form of my Kindle. It was a gift for my birthday, and possibly the greatest gift I’ve ever received (apart from the Tickle Me Elmo I got for my second birthday). I also have a junior vinyl collection that I’m always in the process of expanding, and an Americano addiction which would put even the most notorious coffee aficionados to shame. o
need to soar, with targeted and specific means of reaching their ideal audience.
Can you share a moment you’re particularly proud of during your time at CIPP? I don’t know if proud is the right word, but it certainly has an air of irony. In September 2024, I first met Adrian Goddard, our Commercial Director, while on the stand at an external event. Within five minutes of conversation, he had me down as a “natural saleswoman” (his words, not mine). I vehemently denied this. Cut to five months later, and he’s interviewing me for the commercial coordinator position. It was an intense process, and I was a deluge of nervousness and anxiety, with a sprinkle of determination in there too. A day later, I was offered the role. I think that moment, of knowing that I’d achieved such a feat and that I was about to embark on the next step of my career, was certainly a moment that had me beaming. What’s one thing you wish more people knew about working in the commercial side of a professional body? Just how fast paced it can be. I’d worked with Daniel Cull, Commercial Development
out as a fixed-term administrator in the membership department. In
December of that same year, I became the communications coordinator, and remained in the CIPP’s membership department until July 2025, when I began my role as commercial development coordinator, and moved to our commercial team. What are your main priorities as commercial development coordinator? Predominantly, I work with external companies to provide the space and support to communicate their ideas to our wider CIPP community. This ranges from exhibiting at our events such as the Annual Conference and Exhibition and Payroll Services Summit, to sponsoring National Payroll Week, to bespoke content in Professional magazine. My goal is to aid our clients in building the foundation they
| Professional in Payroll, Pensions and Reward | September 2025 | Issue 113 10
PERSONAL DEVELOPMENT
# Be Payroll
Christie Murphy MCIPPdip, Head of Payroll, Harris Federation, shares her payroll career story and discusses how CIPP membership and IPPE qualifications have helped
How did you begin your career in payroll?
considering taking a CIPP- approved qualification?
academies serve areas of significant socioeconomic disadvantage, and our pupils and 5,000 staff achieve consistently brilliant outcomes, outperforming national averages on every measure of attainment. I grew up in Croydon and the education prospects back then weren’t great. I went to a fantastic primary school, but my secondary options were mostly schools with low GCSE ratings. Seeing the opportunities the Harris Federation provides to children in the same areas I grew up in (and knowing those opportunities weren’t available when I was a child) is heartwarming and it’s lovely to be attached to. I’m proud of where I work and I wouldn’t be where I am now without my qualification.
When I was 24, I took a six-month sabbatical from secretarial work to
The biggest tip would be to just go for it. It opens so many doors and fast tracks your career in payroll. It will show you’re serious in your field and will increase your chances of being selected for opportunities, like being part of interesting projects, or even travelling abroad for work. These are opportunities I’ve had since becoming qualified. My journey in payroll is a testament to the transformative power of embracing professional development. From a hesitant beginning to a career filled with growth and purpose, the CIPP-approved qualification has been central to my success. For those eager to excel in payroll, I encourage you to invest in your future by pursuing a CIPP-approved qualification. It won’t just advance your career, it will also enrich your professional journey in ways you may never have anticipated. Which qualification did you take? I took the Foundation Degree in Payroll Management. As I had two years of payroll experience, I was able to skip the first year of the degree and only did the second and third years. I graduated in November 2016. How has your qualification helped you in your career? It’s allowed me to get involved in system implementation projects, knowledge transfers, operational excellence and a lot of transformation work. However, I’m most proud of the latest door my qualification opened for me, which was getting my current role working for Harris Federation. We’re a charity educating 44,000 pupils in 54 primary and secondary academies in and around London. Many of our
travel Southeast Asia. When I returned, I struggled to secure another secretarial or administrator role (which was the only experience I had at the time). A friend of mine then put me forward for a payroll administrator role in his team at an NHS trust, and they were willing to train me up from scratch. I’d always seen payroll as a rather scary job – overseeing people’s pay sounded like a stressful job with lots of responsibility that I wasn’t sure I wanted. However, as soon as I was trained up, I very quickly came to love it. What prompted you to study with IPPE? I left school at 16 with GCSEs but didn’t go onto further education as I had no real idea of what I wanted to do. Once I discovered how much I enjoyed payroll, I knew that was what I wanted to do with my career. I looked into what qualification I would need to solidify my career in payroll and I found the CIPP / IPPE. I wanted to start my qualification during my first year of working in payroll, but it wasn’t something being offered by my employer and I couldn’t yet afford to pay for it myself. I eventually moved to a role at Capita, and they paid for me and a colleague to do our studies together. How long have you been a member of the CIPP? I’ve been a member since starting my studies back in 2014.
Why did CIPP membership appeal to you?
I wanted to be a member as, in my opinion, it’s one of the best ways to keep up with changes in the industry. The CIPP provides so many updates, puts on so many events and provides so many different training courses, it would have been detrimental to me not to be a member. Which CIPP member benefits would you encourage other payrollers to use and why? The Advisory Service is great. In payroll, things are always changing and just when you think you’ve seen everything, you can be presented with a situation you’ve never experienced before. The advice available from the Advisory Service is great. That membership benefit alone gave me the confidence to move into payroll management as I knew the Advisory Service was always there to help me with any scenario which presented itself. n
What tips do you have for people
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
HEADLINE SPONSOR
CIPP’s Annual Conference and Exhibition
Don’t miss out on the UK’s biggest payroll conference and exhibition
Bookings close 12 September
Taking place 1-2 October 2025 at the Celtic Manor Resort in Wales, our Annual Conference and Exhibition brings together payroll professionals, thought leaders and solution providers from across the UK. This two-day event offers a packed programme of insightful sessions covering the latest legislation, policy changes and industry developments, alongside interactive workshops and panel discussions. Delegates will also have the opportunity to explore the largest exhibition we’ve ever had – featuring payroll technologies, services and innovations from across the industry.
SPREAD THE WORD Non-members get 12 months’ Affiliate membership, VIP event access and a goody bag included with their ticket.
*Please note that accommodation at the Celtic Manor Resort will be booked on a first come first served basis, after this all delegates will be accommodated at the Manor House located within the Celtic Manor Resort.
| Professional in Payroll, Pensions and Reward | September 2025 | Issue 113 12
WHY ATTEND?
Inspiring keynotes Hear from payroll leaders and industry experts on trends, legislation, compliance and best practice.
Interactive workshops Join interactive sessions and discussions led by experts to deepen your knowledge.
Explore new solutions Meet exhibitors showcasing the latest payroll tech, services and tools to improve your processes.
Grow your skills Gain insights and updates to support your career and professional development.
Celebrate succes Your ticket includes entry to the CIPP Annual Excellence Awards – the UK’s largest payroll awards.
Connect and network Meet peers, share ideas and build valuable industry connections.
FEATURED SESSIONS
Unlocking the secrets of survival: mastering the UK’s National Minimum Wage maze! Jeni Morris, NMW specialist
Payroll auto-saving trial Michelle Sutton ChMCIPPdip, Head of Reward and Compensation, SUEZ Recycling and Recovery UK
Mental wellbeing at work Brian Sparling ChFCIPPdip, EMEAA Payroll Manager, Element Materials Technology
2025 EXHIBITORS...SO FAR
A subsidiary of the Chartered Institute of Payroll Professionals
Visit cipp.org.uk/ACE or scan the QR code to book your places today
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
BEST PRACTICE IN PAYROLL
The Payroll Assurance Scheme (PAS) - the prestigious gold standard accreditation for your payroll processes and people
Developed in partnership with HM Revenue and Customs (HMRC) and launched in 2012, PAS is the prestigious gold standard to ensure your people and payroll processes are compliant and robust.
Examining over 100 facets of your payroll operations, the scheme is consistently evolving and not only shows that lifelong learning and development is planned and encouraged, but that you’re dedicated to compliance and best practice in payroll, a huge accolade for staff, as well as ensuring procurement is much easier.
Every issue we want to recognise and celebrate those organisations which have successfully achieved, or retained, their accreditation. This month we would like to congratulate:
Cox & Co Payroll Solutions Ltd (new accreditation)
Aldi (re-accreditation)
Payroll Pal Limited (re-accreditation)
“The PAS accreditation from the CIPP is prestigious and represents the gold standard for both people and payroll processes. To achieve this accreditation is a testament to the high professional standards and the Herculean effort put in by our team. Their focus, hard work and commitment ensures they’re constantly at the forefront of any changes to the payroll industry.”
Mark Jenkins, Chief Service Officer, MHR
Visit cipp.org.uk/PAS , email compliance@cipp.org.uk or scan the QR code to find out how the PAS accreditation can help you
| Professional in Payroll, Pensions and Reward | September 2025 | Issue 113 14
COMPLIANCE
Jeni Morris, IPPE Consultant, discusses the importance of ensuring organisations are aware of, and educate their staff on, the intricacies of the national minimum wage (NMW)
T he NMW is designed as a vital more complex and, paradoxically, more fragile for both workers and employers. The ever-evolving landscape of minimum wage legislation calls for robust education, not just among payroll professionals, but also among business leaders and employees themselves. Why vigilance matters Paying the new statutory minimum isn’t just about raising wages; it’s fundamentally about compliance. The rules surrounding NMW are intricate, and breaches which are often inadvertent are distressingly common. Factors such as additional working hours, variable pay deductions (e.g., salary sacrifice or uniform costs) or misclassification of worker types routinely trip up even the most diligent of employers. Recent HM Revenue and Customs safety net for millions of UK workers. However, this safety net is becoming (HMRC) ‘name and shame’ campaigns have highlighted hundreds of businesses, across all sectors and pay bands, for falling foul of these technicalities. Notably, these enforcement actions show that NMW risk extends far beyond the lowest paid. Middle management and salaried employees are increasingly at risk due to misapplied rules, overlooked overtime or incorrect contract categorisation. Worker categories: education as the compliance foundation At the heart of NMW governance lies a critical step: getting worker categorisation right. Employers must accurately define
each category has its own NMW calculations, risk zones and compliance requirements. Inadequate education in this fundamental area is a leading cause of unintentional underpayments. Pinpointing the appropriate work category is crucial because each one has differing rules to follow for the correct NMW calculation and the criteria can vary significantly.
l the correct worker categorisation and record-keeping l monitoring and documenting contractual versus actual hours for all roles l ensuring policies around time off in lieu, salary sacrifice and allowable deductions are compliant l running regular, documented compliance checks, helped by strong payroll and human resources systems. Recent HMRC webinars and guidance heavily stress the need for employers to keep accurate time records for salaried workers – a common weak spot in many organisations. Education drives ethical pay and resilient business The best defence against NMW breaches, especially as the regulatory bar rises, is a culture of compliance, built on up-to-date education, attentive contract management and proactive risk assessment. As more employees approach the NMW threshold, every organisation should treat robust education as both a legal necessity and a commitment to workplace fairness and sustainability. Ultimately, enhancing the NMW landscape through education empowers every stakeholder, from payroll to upper management, so that a safety net exists, and that it serves its purpose in protecting workers and reputable businesses alike. n A little reminder that IPPE has a comprehensive NMW Masterclass Series , which I deliver, to help support businesses with their ongoing NMW education. See more here: https://ow.ly/3zpZ50WvZWu.
The unique risk of salaried workers
A widespread myth persists that salaried workers, especially those earning well above the NMW, are safe from compliance risk. This is false. For these employees, compliance is judged over a calculation year, and even a small amount of extra unpaid overtime or unmonitored hours can push even high earners below the legal minimum over 12 months. Take the scenario of an employee on £50,000 a year, contracted for 40 hours a week. Working as little as one hour of unpaid overtime per day could technically deliver an NMW breach by month 11, triggering: l back pay l penalties of up to 200% of the underpayment l severe reputational damage for the business. Robust systems and regular education are essential Education isn’t a one-time exercise. Given
the frequency of legislative changes and annual rate increases, employers require continuous investment in staff training around:
whether an employee is salaried, time, output or unmeasured, as
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| Professional in Payroll, Pensions and Reward |
Issue 113 | September 2025
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