Hiring household staff in the United Kingdom
As of 18 October 2026
This guide summarises what a private household in the United Kingdom needs to know when it hires household staff or searches through an agency, in London as in the Home Counties: which rules apply to agencies and who supervises them, which duties the household has as an employer, what applies to nannies and who may be employed from abroad. Everything applies to England; London has no employment law of its own. Every statement comes from a legal text or an official page and carries its source, all retrieved 18 October 2026. This text is guidance, not legal advice.
At a glance
- Placement agencies have not needed a licence since 1995. They are subject to the Employment Agencies Act 1973 and the Conduct Regulations 2003 and may not charge jobseekers a fee; fees charged to households are not regulated. Since 7 April 2026 the Fair Work Agency has been responsible.
- Anyone who pays someone £96 or more a week registers with HMRC as an employer and reports every payment of wages (PAYE).
- The National Living Wage has been £12.71 per hour from age 21 since 1 April 2026; for live-in staff, free accommodation may be counted at £11.10 per day.
- Written terms of employment on the first day, 5.6 weeks of paid holiday, Statutory Sick Pay from the first day of sickness, workplace pension from annual pay of £10,000, employers' liability insurance with at least £5 million of cover.
- Nannies can register voluntarily with Ofsted; parents can then use Tax-Free Childcare.
- Before hiring, the household checks the right to work; breaches cost up to £60,000 per person. There is no work visa for household staff, only the Overseas Domestic Worker visa for six months accompanying the employer.
Placement agencies: law, fees, supervision
The licence requirement for employment agencies was abolished with effect from 3 January 1995; the Deregulation and Contracting Out Act 1994 repealed the relevant sections of the Employment Agencies Act 1973. Agencies remain subject to that Act and to the Conduct of Employment Agencies and Employment Businesses Regulations 2003. The law distinguishes the employment agency, which places permanent positions in which the household becomes the employer, from the employment business, which employs staff itself and supplies them on a temporary basis. Luxury.me shows British agencies with the status Trade registration, no licence required; the company can be checked through its Companies House number, which some websites give.
An agency may neither demand nor accept a fee from persons seeking work, directly or indirectly (Section 6 of the 1973 Act). The exceptions in Regulation 26 apply only to occupations in Schedule 3 of the Regulations, such as artists, entertainment occupations and photographic models; household staff are not among them. Towards the household as its client, the agency must set out its terms before the first service: whether it acts as an agency or an employment business, which fees are payable and when they are refunded, all in a single document (Regulation 17). Fees themselves are not capped; the register shows which agencies publish them.
Since 7 April 2026 the Fair Work Agency has exercised supervision; it has brought together the Employment Agency Standards Inspectorate and other bodies (Employment Rights Act 2025). It follows up every complaint alleging a breach of the laws it enforces; it can be reached at contact@fairworkagency.gov.uk and 0345 161 6000. Breaches are criminal offences punishable by a fine, and a person can be prohibited from running an agency for up to ten years. There is no register of household agencies; the Fair Work Agency licenses only labour providers for agriculture and the food industry.
The household as employer
As soon as the household pays someone £96 or more a week, it registers with HMRC for PAYE and reports every payment of wages on or before payday (Real Time Information). In the 2026/27 tax year, employer National Insurance is 15 percent of pay above £96 a week; the employee pays 8 percent, and nothing on the first £242 a week.
The minimum wage rises every year on 1 April. Since 1 April 2026 the National Living Wage has been £12.71 per hour from age 21, the National Minimum Wage £10.85 for 18 to 20 year olds and £8.00 for under 18s and apprentices; the government adopted the Low Pay Commission's recommendation in full. Live-in staff are entitled to the minimum wage: the only exemption is for members of the employer's family who live in the employer's household, not for employees who live there and share in work and leisure. If the household provides free accommodation, in 2026 it may count £11.10 per day or £77.70 per week towards the wage (accommodation offset).
The employee receives the main terms of employment (principal statement) on the first day of work. Paid holiday is 5.6 weeks a year, 28 days for a five-day week. Statutory Sick Pay in 2026 is £123.25 a week or 80 percent of average weekly earnings, whichever is lower, for up to 28 weeks; since 6 April 2026 it has been paid from the first day of sickness and the lower earnings limit has been abolished. Working time is limited to 48 hours averaged over 17 weeks, more with the employee's written opt-out; domestic staff in private households are exempt from this limit.
The workplace pension duty begins on the day the first employee starts work; anyone aged between 22 and State Pension age who earns at least £10,000 a year must be enrolled automatically, with an employer contribution of at least 3 percent of qualifying earnings between £6,240 and £50,270. The Pensions Regulator confirms the duty expressly for households that directly employ a carer; it does not mention nannies specifically, but the rule applies to every employer. Employers' liability insurance with at least £5 million of cover is compulsory as soon as one becomes an employer; without it there is a fine of £2,500 for every day. The only exemption is the employment of family members.
Protection against unfair dismissal generally requires two years of employment; from 1 January 2027 most employees are to be able to bring a claim after six months, subject to parliamentary implementation. The time limit for claims before the Employment Tribunal has been six months instead of three since 1 October 2026.
Nannies: Ofsted, Tax-Free Childcare, criminal record check
Nannies can register voluntarily on Ofsted's Childcare Register. The requirements are an enhanced check with the Disclosure and Barring Service, a suitable first aid qualification, training at Level 2 or in the common core skills and liability insurance; the care may take place only in private households. The fee is £103 a year. With a registered nanny, parents can use Tax-Free Childcare: for every £8 paid in, the state adds £2, up to £2,000 a year per child (£4,000 in case of disability), for children up to the age of 11 (16 in case of disability).
A household cannot apply for the criminal record check itself; the nanny applies for the enhanced check, including the barred lists, themselves, and the certificate is valid only within three months of issue.
Staff from abroad
Before every hire, the household must check whether the person is allowed to work in the United Kingdom, and must do so before work begins; the basis is Section 15 of the Immigration, Asylum and Nationality Act 2006. Anyone who employs someone without this right pays up to £60,000 per person, from £45,000 for a first breach, and risks up to five years' imprisonment and an unlimited fine. EEA nationals with immigration status prove their right through the Home Office online service, with a share code and their date of birth; British and Irish nationals need no code.
There is no work visa for household staff: the occupation list of the Skilled Worker visa shows housekeepers, cleaners, chauffeurs and cooks as not eligible, nannies only for extensions in the same occupation. The Overseas Domestic Worker visa allows household staff to enter with their employer for up to six months; it costs £726 and cannot be extended. Requirements: at least 19 years old, employed in the employer's household for at least twelve months before the application, the employer is a British national living abroad or a visitor who intends to stay no longer than six months; the pay must be at least the minimum wage, and the employee may change employer without informing the Home Office. Private household staff in diplomatic households come with the International Agreement visa, up to five years in periods of two years, a fee of £340, with a sponsor and the minimum wage.
Disputes and complaints
The Fair Work Agency is the state supervisory body for agencies in England, Scotland and Wales; it does not recover claims, but by its own account often prompts agencies to pay. Minimum wage breaches are pursued by HMRC on behalf of the Fair Work Agency; they can also be reported by someone who no longer works there. The Acas helpline on 0300 123 1100 advises on employment rights. Against an agency that breaches its duties, a claim before the Employment Tribunal is open after a formal complaint.
London
London has no minimum wage of its own; the National Living Wage applies nationwide. The London Living Wage comes from the Living Wage Foundation, a private organisation, and is voluntary. Ofsted and Tax-Free Childcare apply to the whole of England, and therefore to London as well; there are no London-specific rules on agencies, PAYE, insurance or visas.
Sources
All sources retrieved 18 October 2026.
- Employment Agencies Act 1973, legislation.gov.uk
- Conduct of Employment Agencies and Employment Businesses Regulations 2003, legislation.gov.uk; Regulation 17, legislation.gov.uk
- Overview of the Conduct Regulations 2003, gov.uk
- Making a complaint to the Fair Work Agency about your recruitment agency, gov.uk; About the Fair Work Agency, gov.uk
- PAYE and payroll for employers, gov.uk; National Insurance rates and categories, gov.uk
- National Minimum Wage and National Living Wage rates, gov.uk; Minimum wage rates for 2026, gov.uk; National Minimum Wage: accommodation, gov.uk; Who gets the minimum wage, gov.uk
- Written statement of employment particulars, gov.uk; Holiday entitlement, gov.uk; Statutory Sick Pay: employer guide, gov.uk; Acas, Statutory sick pay, acas.org.uk; Maximum weekly working hours, gov.uk
- Workplace pensions: employers, gov.uk; How to enrol staff, gov.uk; The Pensions Regulator, New employers, thepensionsregulator.gov.uk; Employing carers, thepensionsregulator.gov.uk
- Employers' liability insurance, gov.uk; When you don't need it, gov.uk
- Eligibility to claim unfair dismissal, gov.uk; Employment Rights Act timeline update, gov.uk
- The Ofsted registers, gov.uk; Requirements for registered nannies, gov.uk; Ofsted fees, gov.uk; Tax-Free Childcare, gov.uk
- Criminal record checks for childcare workers, gov.uk; Check someone's criminal record as an employer, gov.uk
- Checking a job applicant's right to work, gov.uk; Employer's guide to right to work checks, 1 October 2026, assets.publishing.service.gov.uk; Penalties for employing illegal workers, gov.uk; Code of practice on preventing illegal working, assets.publishing.service.gov.uk; View a job applicant's right to work details, gov.uk
- Skilled Worker visa: eligible occupations and codes, gov.uk; Overseas Domestic Worker visa, gov.uk; Eligibility, gov.uk; Immigration Rules, Appendix Overseas Domestic Worker, gov.uk; International Agreement visa, gov.uk
- Pay and work rights complaints, gov.uk; Pay and work rights helpline, gov.uk; Acas, If there's a problem with the agency, acas.org.uk