Comprehensive guide to umbrella companies for UK contractors. FCSA certified options, how umbrella companies work, fees, IR35 compliance, and contractor payroll solutions explained.
One of the UK's longest-standing umbrella companies, established in 2001. Contractor Umbrella provides comprehensive umbrella employment services for contractors and freelancers across the UK. The company is FCSA and SafeRec certified, ensuring compliance with industry standards. They offer a service guarantee and provide dual services through their sister company Dolan Accountancy for limited company needs.
Umbrella companies offer a convenient way to trade for many IT contractors. Some contractors either have no wish to, or are unable to, set up a limited company and in these instances umbrella companies are the main alternative. Other contractors may just wish to contract in the short term, perhaps just a few months, which makes setting up a limited company unviable. Umbrella companies became increasingly popular after the IR35 legislation was introduced over ten years ago, and even more so since the IR35 reforms in 2021.
You become an employee of the umbrella company, receiving PAYE wages with tax and National Insurance automatically deducted
Eliminates IR35 concerns as you're employed on a PAYE basis, making it ideal for inside IR35 contracts
Maintains employment status between contracts, helping with mortgages, loans, and other financial applications
Handles invoicing, payment collection, expense processing, and all payroll administration on your behalf
Look for FCSA (Freelancer and Contractor Services Association) certification, which ensures compliance with industry standards and regulations.
Umbrella company fees typically range from £80-150 per month. Ensure there are no hidden charges or setup fees.
Check customer reviews, response times, and the level of support provided. Look for companies with proven track records.
Some umbrella companies offer additional services like pension schemes, insurance, or mortgage support that may benefit your situation.
Use our free umbrella calculator to see exactly how much you'll take home with any umbrella company
Try Free CalculatorBelow is a list of other FCSA certified umbrella companies operating in the UK market. All providers listed maintain FCSA certification ensuring compliance with industry standards.
