Big Payroll Changes Are Coming — And UK Businesses Must Act Now

Major changes to UK payroll are on the way, driven by artificial intelligence, tighter HMRC reporting requirements, and updated rules around employee benefits. Automation is transforming how businesses calculate pay and manage compliance, while new digital reporting standards mean less room for error and greater scrutiny from tax authorities. Employers who fail to adapt risk penalties, inefficiencies, and unexpected tax costs. Reviewing payroll systems, updating processes, and staying ahead of regulatory updates will be essential for businesses looking to remain compliant and competitive in 2026.