1. We understand your current setup
We look at your contractor population, existing payroll arrangements, sectors, processes and compliance requirements.
Contractor services for recruitment agencies
Compliant contractor payroll that protects your agency and your reputation
Payroll, independent auditing and responsive support so that contractors are paid accurately, issues are resolved quickly and your agency has the evidence it needs to manage supply chain risk. Trusted by more than 500 recruitment agencies and backed by eight consecutive years of FCSA accreditation.
Contractor payroll is more than a back-office decision
Every contractor you refer to a payroll provider has an experience that reflects back on your agency. And with agencies facing greater scrutiny over the compliance of their supply chains, choosing the right partner has financial and regulatory implications too.
Sapphire helps you manage both.
Protect your agency
Independent accreditation, real-time payroll auditing and greater payroll transparency help you manage compliance risk.
Protect your contractor relationships
Accurate payments, clear communication and responsive support give contractors an experience you can confidently put your name behind.
Contractor payroll and employment services
Umbrella payroll for recruitment agencies
PEO services for recruitment agencies CIS payroll for recruitment agencies Payroll Transparency Portal
PEO services for recruitment agencies CIS payroll for recruitment agencies Payroll Transparency Portal Umbrella payroll for recruitment agencies
Compliant UK umbrella employment and PAYE payroll, with fast onboarding, accurate payments, clear payslips and direct contractor support.
PEO services for recruitment agencies
A flexible employment and payroll model for agencies that want to retain a PAYE offering while outsourcing employment risk, administration and payroll.
Services built around agencies and their contractors
Compliant payroll you can evidence
Eight consecutive years of FCSA accreditation and SafeRec real-time payroll auditing give you independent assurance behind every payroll run.
Accurate, reliable contractor payments
Contractors are paid accurately and on time, with clear payslips and communication that reduces payment queries and uncertainty.
Support that doesn't land back on your team
Contractors can come directly to Sapphire with payroll queries, including our contractor WhatsApp service, while your agency has dedicated account management support when you need it.
Financial strength you can rely on
With more than £700m in annual turnover, Sapphire has the scale and financial infrastructure behind the service your contractor supply chain depends on.
A better contractor experience
Responsive support, straightforward onboarding and clear communication help protect the relationship you’ve worked hard to build with every contractor.
More than £1m shared with contractors
As an employee-owned business, Sapphire has shared more than £1m with qualifying longstanding contractors through its contractor bonus programme – a tangible benefit that goes beyond payroll.
An award winning partner
Named Best Umbrella Company (Over 3,000 clients) at The Contracting Awards 2025, and shortlisted for Best Contractor Services at The Recruiter Awards.
Contractor compliance you can verify
Switching to Sapphire contractor services
Getting up and running with Sapphire is straightforward. Here’s what to expect.
2. We plan the transition
Our team configures your service and manages contractor onboarding around your existing operation.
3. We take over payroll and support
Sapphire manages payments, payroll administration, contractor communication and the agreed compliance processes.
4. We keep improving the service
Your dedicated account management team stays close to your agency as contractor volumes, legislation and your requirements change.
Switching payroll provider shouldn’t create another operational problem. We manage the transition with you.
12+Years supporting recruitment businesses
500+Agencies across the UK
£700m+Annual turnover
10,000+Contractor payments processed each week
100,000+Contractors supported
102+Countries supported
£1m+Paid in contractor bonuses since 2024
20%Year-on-year contractor growth
Top 5UK Umbrella/CIS market share
Sapphire is a trusted, compliance-first partner. Alex is always on hand, respectful of our preferred ways of working and quick to resolve queries and payment issues. As umbrella legislation changes, their audit-ready approach and clear, timely communication give us and our contractors real confidence.
Sophie Anderson, Associate Director, Venn Group
I have worked with Sapphire for a number of years and have consistently found their service and attention to detail in account management to be exceptional. Marcus, in particular, stands out — he resolves any issues quickly and, no matter how busy he is, always takes the time to personally speak with customers and clients. That level of dedication goes a long way. I would highly recommend Sapphire.
Jim Fleming, Director, Buildforce Solutions
I’ve worked with Sapphire for years and brought the relationship over to my own agency. They register temps quickly, keep us updated throughout and make sure they’re paid reliably each week. Any issues are resolved swiftly, allowing me to focus on placing temps with complete confidence. Jake’s guidance was also invaluable when launching my business, and the whole team consistently goes the extra mile. I see Sapphire as an extension of my accounts department and couldn’t recommend them highly enough.
Luke Lysandrou, Director, LLC Recruitment
We’ve worked with Sapphire for over a year and have found them an excellent company to deal with. The Quartz system is easy to use, but what really stands out is their proactive customer support and willingness to listen, adapt and accommodate the specific requirements of our business. Ray, Shauna and the wider team are responsive, practical and genuinely great people to work with. I’d have no hesitation in recommending them.
Steve Gearing, Managing Director, Gearing Recruitment Solutions
Contractor payroll and compliance insights for recruitment agencies
Stay ahead of the legislation, compliance requirements and contractor trends affecting your agency and its supply chain.
Q&A with Paul Bygraves, Sales Director: What the umbrella legislation means for healthcare recruitment
Financial stability: a critical element of compliance
Navigating what’s next: what today’s compliance panel means for agencies and MSPs
How to switch umbrella providers without risking payday
Five questions to ask before switching umbrella
Why Umbrella Payroll Doesn’t Work Everywhere
Key Indicators of Transparency
The PSL checklist: governing umbrella partners under JSL
One partner beyond contractor payroll
Contractor payroll is one part of the infrastructure behind a recruitment business. As part of Sapphire, your agency can also access global workforce solutions, operational technology and specialist recruitment accounting and financial intelligence.
Global Workforce
EOR, AOR and international workforce solutions for placements across global markets.
Operational Technology
Quartz technology for timesheets, Pay & Bill, invoicing, integrations and contractor workflows.
Accounting & Intelligence
Recruitment accounting, financial intelligence, benchmarking, tax and advisory support.
Trusted by agencies
Trusted by 500+ recruitment agencies, with eight years of FCSA accreditation and an Excellent Trustpilot rating from 5,000+ reviews.
Accreditations
Frequently asked questions
What contractor services do recruitment agencies typically need?
Most recruitment agencies need support across three core areas: compliant payroll for contractor workers, a clear engagement model that suits the type of work being placed, and protection from the compliance risks that come with managing a contractor supply chain.
In practice, this means choosing between umbrella employment, CIS or other engagement models depending on the sector and contractor type, while also managing onboarding, payroll accuracy, PAYE obligations and increasingly, legislative exposure. As regulations tighten, the quality of your contractor services partner has a direct bearing on your agency’s risk profile.
What's the difference between umbrella, PEO and CIS?
Each model serves a different type of contractor engagement:
- Umbrella: the umbrella company becomes the contractor’s employer. It employs the contractor, processes PAYE and makes statutory deductions. Most commonly used for contractors working on temporary assignments, particularly those inside IR35
- PEO (Professional Employer Organisation): similar to umbrella, but the contractor is paid standard PAYE and the employment costs are a business-to-business transaction between the umbrella and the recruitment agency
- Construction Industry Scheme (CIS): a HMRC scheme specific to construction. Rather than full PAYE employment, eligible subcontractors are paid self-employed and hold a UTR number
Choosing the wrong model carries real compliance risk. Sapphire’s team can help you identify the right structure for each placement.
How quickly can my agency get set up?
Most agencies are operational within days. We manage the transition from the initial conversation through to your first payroll run, and your dedicated account manager is available throughout. There’s no complicated onboarding process.
What does same-day support actually look like in practice?
Our Agency Support service sees all emails responded to within an hour and all calls answered within 30 seconds. Your contractors can reach us by phone, email or WhatsApp. When they do, they speak to someone who can resolve their query rather than being transferred between teams. That responsiveness is consistent whether you have 10 contractors or 1,000 – and it protects your agency’s reputation with the people you place.
How can recruitment agencies reduce contractor payroll risk?
As of April 2026, Joint and Several Liability legislation made agencies directly liable for unpaid PAYE or National Insurance contributions if a payroll partner fails to operate compliantly. That makes your choice of partner a legal and financial risk decision, not just a service one.
Sapphire holds eight consecutive years of FCSA accreditation, as well as SafeRec real-time payroll auditing, which provides independent verification of every payroll run. That means you can demonstrate supply chain compliance with evidence, not just assurances.
How can agencies improve the contractor experience?
Contractors consistently rank fast and accurate pay, clear payslips and responsive support as their top priorities when choosing an umbrella provider, according to Sapphire’s 2025 Contractor Census. Agencies who recommend umbrella partners that meet these standards benefit from higher contractor retention and fewer placement disruptions.
Sapphire’s Excellent Trustpilot rating from more than 5,000 reviews reflects consistent delivery across these areas. Sapphire also distributes EOT profit-share bonuses directly to qualifying contractors, having paid more than £1m since 2024. That’s a tangible differentiator when contractors are deciding which agency’s recommended umbrella to use.
What should recruiters look for in a contractor services partner?
When reviewing your umbrella PSL, prioritise these factors:
- Compliance accreditation: Look for things such FCSA membership and SafeRec accreditation. These are the most widely recognised independent standards
- Real-time payroll auditing: accreditation alone doesn’t guarantee ongoing compliance. SafeRec audits every payroll run, not just annual processes
- Legislative readiness: your partner should be able to comply with Joint and Several Liability (April 2026) and be prepared to handle the umbrella regulation coming under the Employment Rights Act
- Contractor-facing service quality: responsive support, clear payslips and accurate payments directly affect how contractors experience your agency
- Financial stability: a partner’s ability to pay contractors on time depends on their own financial resilience. Sapphire’s £700m+ annual turnover and employee-owned structure provide a stable foundation
- Contractor benefits: Does your partner offer any direct benefits to contractors, such as early advances or health cash plans? Alongside these benefits and more, Sapphire provides bonuses to eligible contractors through our employee ownership scheme, paying out £1m+ to contractors to date.
Is it difficult to switch contractor services providers?
Switching is simpler than most agencies expect, and the compliance risk of staying with an underperforming partner is usually greater than the operational effort of moving. Sapphire manages onboarding for new agency partners and their contractors, handling the transition process so disruption is minimal.
