Employment Taxes

Taxing Work and Wealth

Review of modern working practices

Last updated: 03/02/2026

  • The case law surrounding employment status and worker rights continues to evolve at pace, with several lead case decisions expected to have a significant impact on how employment status is to be determined. Important decisions are currently awaited from the First-tier Tribunal (including Basic Broadcasting, RALC Consulting and PGMOL) and the Upper Tribunal (Bryan Robson Ltd).
  • Wide-ranging reforms to employment rights planned by the government include a plan to move to a two-tier system of employment status, comprising of the self-employed and a single worker status.
  • The Employment Rights Act 2025, containing the basis for many of the employment law reforms, received Royal Assent on 18 December 2025.
  • On 1 July 2025, the government published the Employment Rights Bill Implementation Roadmap, setting out a draft timeline for implementation of the different reforms contained in the Employment Rights Act, ranging from immediate reforms to others which will take until 2027 to take full effect.
  • The move to a two-tier system of employment status is, however, not included in the Employment Rights Act and any change in this area is likely to take longer..
  • Timing: Employment law reforms will be phased in gradually between 2026 and 2027.

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Contacts

Kathryn Dooks
Kathryn Dooks

Partner

+44 20 7303 2894

kdooks@deloitte.co.uk

Eleanor Meredith
Eleanor Meredith

Director

+44 (0)11 7984 2734

emeredith@deloitte.co.uk

Natalie Backes
Natalie Backes

Associate Director

+44 (0)20 7007 0930

nbackes@deloitte.co.uk