HLAS

The UK government has stepped up its crackdown on illegal working, with January 2025 seeing record levels of enforcement activity. Home Secretary Yvette Cooper announced these efforts as the Border Security, Asylum, and Immigration Bill returned to Parliament last week. Key highlights Here are some key points from the latest enforcement activity: 828 premises were raided in January—a 48% increase compared to the previous January—resulting in a total of 609 arrests (+73%). Restaurants, nail bars, and car washes continue to be identified as high-risk sectors. Since 5 July 2024, illegal working visits and arrests have risen by 38% compared to [...]

Following the reduction in the Bank of England base rate, HM Revenue & Customs (HMRC) have confirmed that their interest rates will be reduced accordingly. Late payment interest will reduce to 7% from 7.25%. Repayment interest – paid on tax repayments – will be reduced to 3.5%. The change will come into effect from: 17 February 2025 for quarterly instalment payments. 25 February 2025 for non-quarterly instalments payments. See: https://www.gov.uk/government/news/hmrc-late-payment-interest-rates-to-be-revised-after-bank-of-england-lowers-base-rate--2

Following a consultation in 2024, the fees payable by data controllers to the Information Commissioner’s Office (ICO) will be increased by 29.8%. The new fees will be as follows: There is a £5 discount for direct debit payments and any organisations that are currently exempt from paying the fee will continue to be exempt. See: https://www.gov.uk/government/consultations/data-protection-fee-regime-proposed-changes/outcome/data-protection-fee-regime-government-response

Artificial intelligence (AI) continues to dominate headlines as businesses explore how to make effective use of it. The government remains committed to fostering growth in the AI industry. Last week, it opened bidding for local authorities to submit proposals to become the next AI Growth Zone. It anticipates that thousands of jobs could be created as a result, potentially revitalising local communities across various parts of the UK. Last week also saw the Artificial Intelligence Action Summit take place in Paris. Representatives from 80 countries—including world leaders, tech executives, and academics—discussed AI’s current progress and future objectives. The emergence of [...]

The government unveiled significant plans last week to modernise the house buying and selling process. The reforms focus on digitalising and making property and identity data accessible electronically. This will enable mortgage companies and surveyors to access essential information more easily. It is believed that these changes will help to prevent unexpected issues arising late in the process, reducing the associated waste of time and money. In Norway, property transactions are typically completed within approximately one month, and these reforms take inspiration from how this has been achieved. HM Land Registry (HMLR) is playing a key role in these changes, [...]

The Department for Education have released details of additional flexibility coming to apprenticeships. When adult learners over the age of 19 start their apprenticeship course, businesses will now be able to decide whether they need to complete a level 2 English and Maths qualification (equivalent to a GCSE) in order to pass the course. The Department for Education stressed that apprentices will still be assessed on the core English and Maths skills that are relevant to the work they do. However, they will be able to focus more on their paid work. The minimum duration of an apprenticeship is also [...]

Traditional approaches to work and earning an income are evolving, and with the cost of living continually rising, many people are now looking for ways to make some extra cash outside of their main job. If that applies to you, you may be wondering whether you need to pay tax on those earnings. HM Revenue & Customs (HMRC) has launched a new campaign aimed at clarifying whether you need to inform them about your side hustle earnings to avoid any unexpected surprises. The guidance explores five different types of side hustle. Here, we briefly review them and outline what you [...]

Pemberton Timber Frame Ltd, based in Kent, has been fined and ordered to pay costs following an avoidable injury to one of its workers. The company manufactures timber frame structures for the construction industry. One of its workers was operating a panel saw and was asked to perform a rip cut on a length of timber, meaning he needed to cut down its thickness. This required him to pass the timber through the panel saw multiple times because the timber was too thick for the blade to cut in a single pass. He successfully completed the first cut, but on [...]

February saw new changes come into force for the alcohol industry, particularly impacting winemakers. A temporary easement had been in place for wines with an alcohol by volume (abv) between 11.5% and 14.5%, treating them as if their abv were 12.5%. It was announced in the 2024 Autumn Budget that this easement would end on 1 February 2025. While there have been calls to make the easement permanent, the government has confirmed that it will end as scheduled. This means that the wine duty will now be based on the actual alcoholic strength of the wine. The duty rate will [...]

Legislation was laid before Parliament last week confirming that the new National Living Wage and new Minimum Wage rates will take effect from 1 April 2025. While many businesses are feeling and have expressed concern about the increases, the sight of the legislation suggests that no reprieve is in sight. As a reminder, the National Living Wage will increase to £12.21 from 1 April. This is a 6.7% increase and will be worth £1,400 a year to an eligible full-time worker. The National Minimum Wage for 18-20 year olds will increase to £10.00 an hour. For an eligible full-time worker, [...]