John Chaplin, Tax Partner at BDO, and Shaun Critchley, Chairman of Advance explain the fundamentals of Joint and Several Liability, why it is being introduced, and what it means for agencies and umbrellas across the contracting supply chain. This opening chapter sets the scene for April 2026 and outlines why every organisation needs to understand where accountability will now sit.
HMRC’s powers under the new legislation are broader than many expect. This chapter explores how enforcement works in practice, including HMRC’s right to pursue the party most able to pay, what triggers investigations, and how compliance interventions will be carried out.
Understanding where liability attaches is essential for agencies, umbrellas, and end clients alike. John and Shaun break down how PAYE, NIC, and apprenticeship levy responsibilities flow through the supply chain, and where agencies may find themselves unexpectedly exposed.
Joint & Several Liability : Where does liability attach itself to?
Even the best-run umbrella can face commercial or operational failure. This discussion covers what happens if an umbrella collapses mid-contract, who picks up the liability, and what practical steps agencies can take to protect themselves before that happens.
Joint & Several Liability : What happens when the unexpected happens?
Past behaviour still matters. In this section, the focus turns to umbrellas with historic tax or compliance issues and how that history could impact agencies once the new regime begins. The discussion clarifies how to identify risk early and what due diligence should be performed.
Joint & Several Liability : What about retrospective problem umbrella providers?
The new framework affects everyone, not just large recruitment firms. This chapter outlines what smaller agencies can do to manage exposure effectively, how to prioritise suppliers, and why a clear internal compliance process will be more important than ever.
Joint & Several Liability : What about small to medium agencies managing their risk?
Here, both experts walk through practical measures agencies should adopt, from verifying PAYE payments in real time to maintaining tighter PSLs and monitoring umbrella partners continuously. It is a clear checklist for proactive risk management in a higher-stakes environment.
This chapter examines how the promotion of tax avoidance schemes fits within the wider Joint and Several Liability framework. John explains how existing rules are being tightened and what agencies need to watch for when reviewing supplier models or marketing claims.
Joint & Several Liability : Legislation about promotion of tax avoidance schemes.
The session closes by exploring the overlap between Joint and Several Liability and the Corporate Criminal Offences regime. The discussion highlights how ignorance will no longer be a defence and why governance, oversight, and documented compliance now carry real weight.
Joint & Several Liability : How strict is the legislation on corporate criminal offences?