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United Kingdom

Basic Economic Summary

Overview

  • Local Languages: English
  • Capital: London
  • Currency: Pound Sterling
  • Population: 66,796,800
  • Date Format: dd/mm/yyyy

Useful Information

  • GDP Per Capita (in USD): 42,330.1
  • Exchange Rate (GBP/USD): 1.35
  • PISA Ranking (2018): 14
  • Number of University Graduates (2017/18): 34 million

Local Universities

Top Local Universities

Salary Data

Average Salary of Jobs (Per Month)

Job Title Average Salary Range (GBP) Average Salary Range (USD)
Finance Manager 2,333 - 3,250 3,173 - 4,420
Fullstack Developer 2,583 - 3,833 3,513 - 5,213
Data Scientist 3,583 - 6,417 4,873 - 8,727
UX Designer 4,417 - 6,167 6,007 - 8,387
Product Manager 4,167 - 6,500 5,667 - 8,840
Customer Service Assistant 1,500 - 1,667 2,040 - 2,267


Talent Sourcing Tips

  • Number of LinkedIn Users (2019): 26 million
  • Top Local Job Portals: Adzuna, Indeed UK, Monster UK, Reed UK
  • Top Recruitment Agencies: Venturi-Group, Adecco, Hays, Reed, Michael Page

Taxes

Employer Payroll Tax

Type of Tax Contribution
National Insurance Rate 13.8%
Pension Fund 3.00%
Apprenticeship Levy (Of those earning > 3 million pounds) 0.5%
Total Employment Cost 16.8%

The employer payroll tax can be found here.

Employee Payroll Tax

Type of Tax Contribution
National Insurance Rate (month)
0 - £719 1.45%
£719.01 - £4,167 12%
> £4,167 2%
Pension Fund 5%

Employee Monthly Income Tax

Income tax is levied annually as follows:

Rate Annual Income Level in GBP
0.00% Up to £12,570
20.00% £12,571 to £50,270
40.00% £50,271 to £150,000
45.00% over £150,000

More information on income taxes levied can be found here.

Minimum Wage & Payroll

Minimum Wage

Age Group Rate
> 25 £8.72
21 to 24 £8.20
18 to 20 £6.45
Under 18 £4.55
Apprentice £4.15

Please refer here for the minimum wage rates that are revised yearly.

Payroll Cycle

Paid monthly between 25th and 30th of the month.  

Bonus

No 13th month salary.

Working Hours & Statutory Leave

Working hours

Maximum 46 hours on average.

Overtime pay

Employers do not have to pay for overtime pay.

Public Holidays

Number of public holidays is 9 days. The list of holidays can be found here.

Leave

Annual Paid Leave

28 days for someone working five days a week.

Sick Leave

No legal upper limit; Statutory Sick Pay covers from the 4th day of sick leave (if qualified)

Parental Leave

Maternity Leave - Up to 52 weeks; 39 weeks are paid

Paternity Leave - 1 or 2 weeks

Offboarding & Termination

Termination Process

Termination is moderately simple with a notice given as well as severance pay for the employee based on the years of employment and age.

Notice Period

Employment Period Notice Period
1 month to 2 years 1 week
>2 years One week for each year of employment

Severance Pay

For employees that worked more than 2 years, redundancy pay is calculated as follows:

Age group Redundancy Pay
< 22 Half a week pay for each full year
Older than 22 and under 41 One week pay for each full year
Older than 41 One and a half week pay for each full year

Probation period

No statutory period

VAT

20%

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