UK Recruitment Glossary
Umbrella Company
In recruiter context
Common for inside-IR35 contracts. The umbrella employs you, pays your tax and NI, takes a fee, and you appear as their employee for HMRC purposes. Compliant umbrella companies are fine; non-compliant ones ("loan schemes", offshore arrangements) leave contractors with HMRC tax bills years later. Always check the umbrella is FCSA-accredited or equivalent before signing.
Related terms
Zero-Hours Contract
An employment contract with no guaranteed minimum hours — you only get paid for the hours you actual…
Death-in-Service Benefit
A lump-sum payment to a UK employee's beneficiaries (typically 2-4x annual salary) if they die while…
Fixed-Term Contract
An employment contract with a defined end date — typically used for project work, parental leave cov…
P60
Your annual UK summary of total pay and tax for the year ending 5 April, issued by your employer by …