Professional Passport is warning agencies and the whole supply chain to be on high alert as it has seen a rise in disguised remuneration (DR) schemes purporting to be umbrella companies and making false claims of accreditation ahead of new legislation due to take effect in April 2026.
The forthcoming rules, which introduce new Joint and Several Liability (JSL) provisions, will significantly increase the risks for agencies and end clients if they partner with a non-compliant umbrella. Professional Passport is urging agencies and the wider supply chain to act now and migrate to systems and compliance models fit for the “new world” rather than waiting for the legislation to take effect. Without proactive measures, businesses risk facing serious financial exposure once the rules come into play.
“We are seeing a sharp increase in disguised remuneration schemes that are trying to badge themselves as umbrellas and falsely claiming accreditation across many of the recognised standards,” said Crawford Temple, CEO of Professional Passport. “The new legislation, which comes into effect in April 2026, has in effect created a closing date for these schemes. They know the game is up, so they are trying to maximise their returns in the time they have left.
“Agencies and the entire supply chain must protect themselves now,” he continued. “Waiting until April 2026 is not an option. Migrating to new-world systems today will remove the risks of being caught out by non-compliant providers and shield businesses from the debts and liabilities that could otherwise land on their desks under the new JSL rules. The message is clear – act now to secure compliance and avoid costly repercussions later.”