Public liability insurance

Mumoftw0

My DH worked 4 days on a building site for a company he had never worked for before. He has now been told that they wont issue him a payment for his work due to not having public liability insurance! Is this legal in what they are doing?? when he started the work he was never asked or told about the insurance requirement.

Many thanks

McKneff

Was he actually employed by the company paying tax and NI or was he employed as a subcontractor?

cant see why they wont pay him though, he still worked four days

cogito

Ho ought to know that if he's working as a labour only sub-contractor, he has to have insurance. Putting it simply, the Inland Revenue rules require it and if he doesn't have it, the employer is entitled to withhold payment. This rule was introduced some years ago to try to stop 'lump' labour avoiding tax.

larmy16

cogito wrote: »

Ho ought to know that if he's working as a labour only sub-contractor, he has to have insurance. Putting it simply, the Inland Revenue rules require it and if he doesn't have it, the employer is entitled to withhold payment. This rule was introduced some years ago to try to stop 'lump' labour avoiding tax.

Don't you know what happened to Ought and Should?

Mumoftw0

McKneff wrote: »

Was he actually employed by the company paying tax and NI or was he employed as a subcontractor?

cant see why they wont pay him though, he still worked four days

He had just been laid off and it was is first job back as a subcontractor this year,

Mumoftw0

cogito wrote: »

Ho ought to know that if he's working as a labour only sub-contractor, he has to have insurance. Putting it simply, the Inland Revenue rules require it and if he doesn't have it, the employer is entitled to withhold payment. This rule was introduced some years ago to try to stop 'lump' labour avoiding tax.

He didnt know its been 6yrs or so since he was a subcontractor!

*MF*

@ OP

This is a link to the relevant HMRC site:

http://www.hmrc.gov.uk/CIS/sub-reg-obs.htm

It contains a phone number for futher help - may I suggest you contact them, explain what has happened and see what they have to say.

dacouch

We get people contacting us about this all the time, they simply take out policy from the current date and this is sufficient for most of the companies to release the payment