Looking for the best payroll software for your UK business? Start with one that helps you pay your people correctly and on time—without juggling spreadsheets, checking tax codes, or scrambling before deadlines.

When payroll goes wrong, it’s more than just admin headaches. It can lead to compliance issues, team frustration, and unexpected costs. In fact, 53 percent of companies in the United Kingdom have been penalized for payroll errors over the past five years.

The right payroll platform helps you stay on track. It automates pay calculations, flags mistakes before payslips go out, and keeps you aligned with HMRC—all while saving hours of manual work every month.

In this guide, we’ll walk through what to look for in a payroll platform and explore some of the best payroll software for the UK this year.

Disclaimer: The opinions expressed here are solely those of the author and do not necessarily reflect HiBob’s views. Prospective users are encouraged to conduct their own research to make the best decision for their organization.

Streamline payroll, save time, and reduce errors with Bob.

Best payroll software in the UK: At-a-glance

  • HiBob: Best for global SMBs
  • Bamboo HR: Primarily serves small and medium-sized businesses
  • BrightPay: Best for SMEs and payroll bureaus
  • Deel: Targets a wide range of businesses
  • Employment Hero: Works with small to medium businesses
  • Gusto: Primarily serves small businesses and contractors
  • Hourly: Best for field-based, small to medium-sized businesses
  • IRIS: Serves smaller businesses, accountants, and payroll bureaus
  • Paychex: Works for businesses of all sizes
  • Papaya Global: Serves medium to large enterprises
  • QuickBooks (Intuit): Designed for small businesses and sole traders
  • Rippling: Serves medium to large businesses
  • Sage: Best for small to medium businesses
  • Xero:  Made for small businesses and startups

What to consider when choosing between UK payroll software

Payroll software helps track hours worked, applies the right tax codes, handles any contributions, and sends pay directly to team member bank accounts—but not every platform works the same way. Some providers design payroll software for smaller teams, while others offer scalability and built-in support for cross-border payments and compliance for those who require a global payroll system

Key features

As you compare options, look for features that make it easier to focus on your people, like:

  • Centralized data: Keeping your people and payroll data on the same platform reduces manual data entry, duplications, and handoff errors
  • Document collection: Collecting important documents during the onboarding process makes it easier to set up new joiners and their pay schedules before they begin day one
  • Automation: Enabling automatic calculations of pro-rata, overtime, National Insurance, HMRC, and hours worked saves admin labor every pay cycle
  • Flexible pay schedules: Offering support for different pay schedules allows you to recruit team members with different overtime or hourly rates 

Ease of use and implementation

Choose software that’s easy to navigate for leaders to approve payments and view reports, and for team members to update personal details or download payslips. A clear, intuitive interface helps your team put the technology into use right away without needing weeks of training or constantly asking managers for help on small tasks.

Finding software that integrates smoothly with your HR and finance systems also helps avoid double entry or data mistakes.

HMRC compliance 

UK payroll compliance is dictated by His Majesty’s Revenue and Customs (HMRC), which is strict about how and when payroll data gets submitted. Look for software that takes care of Pay As You Earn (PAYE), National Insurance (NI), and Real Time Information (RTI) filings so you don’t have to submit them manually or track updates yourself. Make sure your provider stays current with tax code changes and offers all the forms you need—like P60s and P45s—built in.

Pricing 

Some payroll platforms charge per team member, while others use a flat monthly rate. But price alone doesn’t tell the full story. Look out for added costs—like setup fees, integration charges, or limited support tiers.

Weigh these against the time you’ll save and the long-term ROI. The right platform should reduce admin overhead, not add to it. And if you’re growing, choose a solution that scales with you—without becoming cost-prohibitive as your headcount increases.

Security 

Payroll data includes sensitive personal details, so proper security isn’t optional. Look for software that uses encryption, access controls, and UK General Data Protection Regulation (GDPR)-compliant protocols to keep everything protected. It’s also worth checking how the system manages permissions—so only the right people can access the right data.

Expert customer support

When payroll issues arise, fast, reliable support makes all the difference. It helps you stay on track with paydays and compliance deadlines—without the stress. Prioritize platforms with strong reviews for customer service, comprehensive help docs, and account managers who know their product inside and out.

Without the right support, you may find yourself troubleshooting solo or waiting days for help—right when you need it most.

Top payroll software in the UK

Every team runs payroll a little differently depending on your headcount and the number of countries you operate in. Let’s look at some of the best payroll software in the UK available today.

Disclaimer: The opinions expressed here are solely those of the author and do not necessarily reflect HiBob’s views. Prospective users are encouraged to conduct their own research to make the best decision for their organization.

Bob

HR leaders from UK companies of all sizes use Bob for end-to-end payroll management. Instead of switching back and forth between spreadsheets or huge tech stacks, HR teams can manage salaries, time off, UK tax codes, and employment changes from one centralized system. All that data flows straight into calculations to reduce errors, speed up pay cycles, and make it easier to stay compliant with HMRC.

Bob supports complex UK payroll needs like pro-rated pay, maternity leave, and NI contributions. It automatically submits PAYE and RTI reports to HMRC, flags minimum wage issues, and keeps tax codes up to date—so your team doesn’t have to track these manually. Bob’s intuitive interface makes it easy for leaders to approve pay runs and for team members to access payslips or tax documents without extra help.

As a full HCM (human capital management) platform, Bob also supports the entire employee lifecycle, including performance, onboarding, time tracking, and compensation. That means fewer tools to manage, and a more connected experience for both HR and team members.

Top payroll software in the United Kingdom - HiBob_Product_image-1-2-1900x944.png

Payroll features:

  • HMRC compliance: Submit RTI reports, manage tax code updates, and stay on top of year-end reporting and P11D requirements
  • Automated pay runs: Auto-calculate pro-rata, bonuses, overtime, and statutory pay with less manual work
  • Self-service access: Let people view payslips, P60s, and contracts, and manage their details independently
  • Flexible workforce support: Manage payroll for salaried, hourly, shift-based, zero-hour, and IR35 contractors
  • Real-time variance reporting: Catch and resolve discrepancies before payday with automated alerts
  • Custom pay schedules: Support weekly, bi-weekly, or monthly payroll
  • Payroll onboarding automation: Automatically onboard new joiners into payroll workflows based on start dates
  • Expert support: Get help from CIPP-certified payroll specialists for complex cases

Additional HR software features:

  • Core HR: Streamline day-to-day HR operations by centralizing records, workflows, and approvals in one place
  • Onboarding: Create custom onboarding journeys with automated tasks, welcome messages, and team intros to get new joiners up to speed
  • Time and Attendance: Enable people to clock in and out via desktop or mobile, with time entries feeding directly into payroll
  • Compensation: Manage salary reviews, bonuses, and equity plans through structured, role-based compensation 
  • Payroll Hub: Keep HR and payroll perfectly in sync with live data sharing and automated updates across both systems
  • Hiring: Track candidates, collect feedback from stakeholders, and move applicants through your pipeline
  • Learning: Deliver on-demand training that supports career growth and ties into key milestones like promotions or reviews
  • Time Off: Handle PTO requests, holiday schedules, and sick days from one dashboard with built-in approval flows
  • Surveys: Run pulse checks, onboarding feedback, and exit surveys to track sentiment and engagement over time
  • Performance: Launch 360-degree reviews, set goals, and align growth with broader company objectives
  • People Analytics: Get real-time visibility into trends like turnover, retention, and headcount through intuitive dashboards
  • Your Voice: Give team members a safe, anonymous channel to voice concerns and share feedback
  • Workforce Planning: Visualize current roles, plan future headcount, and model team changes across departments
  • Sandbox: Test changes to workflows, payroll cycles, or data imports safely in a duplicate environment before rolling them out

Pros:

  • Offers a user-friendly interface without a steep learning curve or clunky workflows
  • Combines full-suite HR and payroll functionality in one platform
  • Handles HMRC compliance automatically so businesses stay current with PAYE, RTI, and NI without risking penalties
  • Provides real-time reporting and dashboards to monitor payroll variances, track costs, and flag issues before payday
  • Protects sensitive data with customizable permissions, encryption, and GDPR-compliant access controls
  • Integrates smoothly with accounting tools and external payroll providers
  • Includes a knowledgeable support team of payroll experts who understand local compliance needs and provide timely, hands-on help
  • Supports sandbox testing environments so you can preview changes to payroll, policies, or data imports without disrupting live operations

Cons:

  • “The integration with UK Payroll is still in early stages, so would benefit from improved usability.” – verified review

Pricing: Contact HiBob for a custom plan

Streamline payroll, save time, and reduce errors with Bob.

Bamboo HR

BambooHR isn’t a standalone payroll solution in the UK, but it can connect with UK-based tools like PayFit and Pento to simplify payroll workflows. HR teams can manage team data such as start dates, salaries, and time-off approvals directly in BambooHR and automatically push that information into their payroll platform. This integration-first setup helps companies keep payroll aligned with real-time changes in their workforce.

Features:

  • Real-time data sync: Share salary changes, start dates, and leave data directly with integrated payroll providers
  • Payslip visibility: Let people view payslips within their BambooHR account
  • Time-off tracking: Approved sick days and holidays automatically sync into payroll calculations
  • Payroll integrations: Connect BambooHR with UK payroll tools like PayFit, Pento, and others via its marketplace

Pros:

  • “Our agency employees have also appreciated the ease of BambooHR, in relation to time tracking and payroll features.” – verified review
  • “I like that payroll is fairly easy to process.” – verified review

Cons:

  • “I wish the Bamboo payroll module would create an integration with Jonas accounting software.” – verified review
  • “If someone is dual rated you can’t input that information in their profiles and payroll. ” – verified review

Pricing: Custom pricing

(This article includes platform features and pricing that reflect the information available on BambooHR as of the publication date. Please consult the provider directly for the most current details.)

<< See how BambooHR compares to HiBob. >>

BrightPay

BrightPay offers a UK-focused payroll platform that can help businesses stay compliant and streamline the pay process. It supports real-time collaboration between payroll admins, accountants, and HR teams so everyone works from the same up-to-date data. It also includes built-in HMRC submissions, batch processing, and direct payment capabilities.

Top payroll software in the United Kingdom - BrightPay_Product_image-1900x944.png

Features:

  • Automatic HMRC submissions: Send PAYE and RTI files directly from the platform
  • Batch processing: Finalize payslips, coding notices, and reports for multiple people or departments in one go
  • Direct payments integration: Pay people and HMRC straight from BrightPay
  • Real-time multi-user access: Allow multiple team members or advisors to manage payroll files at the same time

Pros:

  • “It allows me to use sub contractors easily in order to process the payrolls.” – verified review
  • “It’s been essential for me to build my payroll bureau.” – verified review

Cons:

  • “Very easy to end up with a duplicate copy of the same payroll on your PC.” – verified review
  • “It doesn’t have enough functions to be able to customize the templates.”- verified review

Pricing: Custom pricing

(This article includes platform features and pricing that reflect the information available on the BrightPay website as of the publication date. Please consult the provider directly for the most current details.)

Deel 

Deel helps companies hire and pay team members in the UK without needing to open a local entity or navigate tax systems on their own. The platform handles local benefits, tax compliance, and payroll automation. Deel also supports full-service payroll for companies with existing UK entities, offering automation across document collection, pay runs, and benefits administration.

Features:

  • Full UK payroll management: Manage salary calculations, tax deductions, payslips, and pension contributions with full compliance
  • Employer of Record (EOR) services: Hire UK-based team members without setting up a local entity
  • Built-in compliance: Stay compliant with UK labor laws, tax rules, and HMRC requirements automatically
  • Localized benefits: Offer region-specific benefits like state pension, National Insurance, and optional private healthcare or life insurance

Pros:

  • “The platform supports multiple currencies and payment methods, making payroll straightforward no matter where you’re located.” – verified review
  • “Deel simplifies the whole payroll process.” – verified review

Cons:

  • “The initial customer support response time was slower than expected, and some payroll terms (like proration) weren’t clearly explained at first, which created a bit of confusion for our team.” – verified review
  • “Deel is very expensive.” – verified review

Pricing: 

  • Deel EOR: $599/person per month
  • Deel Contractor Management: $49/person per month
  • Deel Contractor of Record: $325/person per month
  • Deel PEO: $95/person per month
  • Deel Global Payroll: $29/person per month

(This article includes platform features and pricing that reflect the information available on Deel as of the publication date. Please consult the provider directly for the most current details.)

Employment Hero

Employment Hero offers a fully automated UK payroll solution to handle manual work and help businesses process error-free pay cycles. It pulls in data from time tracking, scheduling, and salary records to automatically prep pay runs. They also offer extra support to companies dealing with more complex scenarios like redundancy pay, backdated adjustments, or pension auto-enrollment.

Features:

  • Pre-payroll automation: Combine time-off data, staff schedules, and salary info automatically before each pay cycle
  • One-click approvals: Review payroll in a visual dashboard that highlights any errors or outliers
  • Integrated HMRC reporting: Submit PAYE and RTI data directly to HMRC
  • Post-payroll sync: Automatically send payslips, update accounting ledgers, and submit pension contributions

Pros:

  • “Integrates both payroll and our HR processes and documentation all in one place.” – verified review
  • “Overall, it’s a user-friendly platform that makes both HR and payroll easy to manage and even easier to teach others.” – verified review

Cons:

  • “In the Payroll it is not always entirely intuitive about where to find what you are looking for.” – verified review
  • “Integrates both payroll and our HR processes and documentation all in one place.” – verified review

Pricing: Custom pricing

(This article includes platform features and pricing that reflect the information available on the Employment Hero as of the publication date. Please consult the provider directly for the most current details.)

Gusto

gusto logo on black background, showcasing clean design and modern branding, stylish typography emphasizing the word 'gusto'

Gusto isn’t a UK-specific payroll provider, but can still help businesses that need to pay contractors in the UK and across 120+ countries. With Gusto Global, you can onboard and pay international contractors in their local currency while adhering to local compliance and tax risks. The platform is geared towards businesses managing a mix of international contractors and US team members within a single system.

Features:

  • Global contractor payments: Pay freelancers and contractors in the UK and 120+ countries with real-time currency conversion
  • Integrated compliance tools: Store tax forms, onboard contractors, and automate filings to avoid compliance issues
  • Unlimited payroll: Run payroll as often as needed without extra charges
  • Self-service onboarding: Contractors and team members can input their own details and access pay history anytime

Pros:

  • “I can complete tasks like running payroll or updating employee info in just a few clicks.” – verified review
  • “They take care of the filing and local tax payments.” – verified review

Cons:

  • “For startups like ours working with public grants and youth intern programs like MBSYEP, it could offer more tailored features.” – verified review
  • “The customer service is less than stellar- it often feels like you’re shouting into the wind.” – verified review

Pricing:  

  • Simple: Starts at $49/mo
  • Plus: Starts at $80/mo
  • Premium: Starts at $180/mo
  • Contractor Only: Starts at $35/mo

(This article includes platform features and pricing that reflect the information available on the Gusto website as of the publication date. Please consult the provider directly for the most current details.)

Hourly

Hourly is a US-based platform that combines payroll, time tracking, GPS data, and workers’ compensation into one system. They target field-based industries like construction, maintenance, and logistics. Hourly can sync hours with payroll and workers’ comp to streamline payroll and insurance management in labor-heavy environments.

Top payroll software in the United Kingdom - Hourly_Product_image-1900x944.png

Features:

  • Workers’ comp: Sync payroll with insurance premiums
  • Time tracking: Capture hours, tasks, and GPS location data as it happens and feed it directly into payroll
  • Industry-ready support: Built to support 500+ high-risk roles, from construction and manufacturing to food service and sanitation
  • All-in-one HR hub: Manage payroll, time tracking, insurance, and team admin from a single dashboard

Pros:

  • “We are able to pull payroll information by location, job duties, employee and so much more.” – verified review
  • “It takes me less than 5 minutes to process 20 employees by weekly payroll.” – verified review

Cons:

  • “They do not currently handle prevailing wage payroll processing, which is a needed feature for the construction industry.” – verified review
  • “The App could be more user-friendly. We have a difficult time accounting for tip adjustments for our bartenders.” – verified review

Pricing: Custom pricing

(This article includes platform features and pricing that reflect the information available on the Hourly as of the publication date. Please consult the provider directly for the most current details.)

IRIS

IRIS offers payroll solutions for UK businesses to manage everything in-house or outsource to a global provider. You can use their HMRC-recognized software to handle payroll internally—with built-in automation for payslips, deductions, and filings. Or, hand off the entire process to IRIS’s payroll experts with support for 135+ countries.

Top payroll software in the United Kingdom - IRIS_Product_image-1900x944.png

Features:

  • HMRC-recognized software: Automate tax calculations, stay current with UK regulations, and submit RTI reports directly
  • Mobile and self-service portals: Let people view payslips, update personal details, and track time off from anywhere
  • Automation: Streamline regular pay cycles, end-of-year reports, and payment processing
  • Dedicated account management: Get one point of contact for both local payroll questions and international compliance support

Pros:

  • “Even a person with less hands-on experience in tech would find it easy to use on a day-to-day basis.” – verified review
  • “Good HCM based payroll solutions.” – verified review

Cons:

  • “If there is a server error it will delete all old payslips never to be retrieved again.” – verified review
  • “When we tried generating payslips, it displayed duplicate entries a couple of times. Thus, we were not certain about the reliability of the data in the reports.” – verified review

Pricing: Custom pricing

(This article includes platform features and pricing that reflect the information available on the IRIS as of the publication date. Please consult the provider directly for the most current details.)

Paychex

Paychex offers a payroll platform with features that support businesses of all sizes—including those operating in or expanding to the UK. They offer automated tax filing, real-time reporting, and compliance tools to manage a local team or contractors across borders. Depending on your package, you can customize reports and create your payroll journal, cash requirements, and more.

paychex flex dashboard with analytics, tasks, payroll details on laptop, visualization of demographics and reports features

Features:

  • Self-service: Let people update personal info, view payslips, and access documents through an online portal
  • Paychex Flex: Manage payroll, HR tasks, training, and benefits all in one dashboard
  • Pre-check previews: Flag errors early by allowing admins and people to preview pay stubs before payroll is processed
  • Integrations: Connect with tools like QuickBooks, Xero, and Indeed to sync financial and HR data 

Pros:

  • “Paychex was easy to process payroll from timecards to transferring over to payroll.” – verified review
  • “No hassles dealing with payroll taxes.” – verified review

Cons:

  • “They do ok running payroll, but their system is old, instructions are often unclear, and customer service is non responsive.” – verified review
  • “It was not compatible with some products we utilize” – verified review

Pricing: Custom pricing

(This article includes platform features and pricing that reflect the information available on the Paychex website as of the publication date. Please consult the provider directly for the most current details.)

Papaya Global

Top payroll software in the United Kingdom - Papayaglobal_Logo_image-1.png

Papaya Global helps companies manage and automate payroll payments across 160+ countries, including the UK. Businesses can pay team members, contractors, and tax authorities in local currency while meeting country-specific regulations. They offer fraud screening, recurring payment setups, and direct integrations for companies scaling global teams.

Features:

  • Global payroll automation: Process payments for team members, contractors, vendors, and tax agencies in the UK and beyond
  • Compliance-first payouts: Ensure each transaction meets local tax and labor requirements with built-in compliance checks
  • Flexible payouts: Send funds to bank accounts, cards, or wallets in 130+ currencies
  • Recurring and mass payments: Set up automated cycles or process up to 10,000 payments 

Pros:

  • “We have reduced our payroll processing time from 10 hours to 1 hour.” – verified review
  • “The immense knowledge on Payroll is lovely.” – verified review

Cons:

  • “Lack of timely response and customer support.” – verified review
  • “The invoices are not always as detailed as we’d like to, and the PTO import system on the platform is not Papaya’s best feature yet.” – verified review

Pricing: 

  • Grow Global: Starts at $25/mo per person
  • Scale Global: Starts at $20/mo per person
  • Enterprise Global: Starts at $15/mo per person

(This article includes platform features and pricing that reflect the information available on the Papaya Global website as of the publication date. Please consult the provider directly for the most current details.)

QuickBooks (Intuit)

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QuickBooks offers a UK payroll solution for businesses already using QuickBooks Online for accounting. It automates weekly or monthly pay runs, tax calculations, and RTI submissions to HMRC. Teams can also manage statutory pay, set up pension contributions, and give people access to payslips.

Top payroll software in the United Kingdom - Quickbooks_Product_image-1900x944.png

Features:

  • HMRC-recognized: Submit RTI filings, tax code updates, and payment summaries directly to HMRC
  • Statutory pay calculations: Automatically handle sick pay, maternity, paternity, and bereavement leave
  • Self-service options: Let team members receive payslips via portal, email, or print
  • Accounting integration: Sync payroll data directly into QuickBooks Online for a live view of financials

Pros:

  • “Integration with payroll softwares and also e-commerce softwares is the best.” – verified review
  • “We like that it is easy to start accounting journal entries for any new entities which are considered to have separate balance sheets.” – verified review

Cons:

  • “The learning curve can be steep for new users, especially those unfamiliar with accounting software.” – verified review
  • “No notice on tax payment withdrawal.” – verified review

Pricing

  • Sole Trader: £10/mo
  • Simple Start: £16/mo
  • Essentials: £33/mo
  • Plus: £47/mo
  • Advanced: £115/mo

(This article includes platform features and pricing that reflect the information available on the QuickBooks website as of the publication date. Please consult the provider directly for the most current details.)

Rippling

Rippling is an HMRC-recognized payroll platform that helps businesses in the UK and around the world automate payroll tasks. It can handle minimum wage compliance and PAYE filings while syncing payroll data with time tracking, benefits, and accounting tools. Businesses with UK-based teams or global workforces can also customize workflows to match how they operate.

Features:

  • UK payroll compliance: Automatically file P45s, P60s, FPS, and EPS reports, with alerts for minimum wage and statutory leave
  • Automated pay: Run payroll for full-time staff, hourly staff, and contractors
  • Built-in time tracking: Approve time cards and calculate overtime from within each pay run
  • Custom workflows: Automate approvals  and error alerts with pre-built templates or tailored logic

Pros:

  • “From onboarding and payroll to benefits administration and device management, everything is integrated seamlessly.” – verified review
  • “Having worked with many payroll systems, I find Rippling to be one that is user friendly.” – verified review

Cons:

  • “We ran into frequent sync issues with payroll.” – verified review
  • “It isn’t as straightforward when it comes to making changes or requests as some other payroll trackers I have used.” – verified review

Pricing: Custom pricing

(This article includes platform features and pricing that reflect the information available on the Rippling website as of the publication date. Please consult the provider directly for the most current details.)

<< See how HiBob compares to Rippling. >>

Sage

Sage logo in vibrant green on a black background, featuring playful, flowing typography., Colorful Sage logo design on a black canvas.

Sage offers a UK-based payroll solution that brings payroll, pensions, and HR admin into a single platform. It’s geared toward businesses that want to manage daily tasks like shift management, time-off tracking, and end-of-year payroll in a single system. Sage also enables HMRC-recognized submissions and built-in accounting integration to keep everything compliant and in sync.

dashboard, task management system with user details, task status and feedback notifications

Features:

  • Flexible pay schedules: Run weekly, bi-weekly, and monthly payroll for up to 150 people
  • Built-in HR tools: Manage time off, employee records, announcements, and onboarding tasks
  • HMRC-compliant: Submit RTI, full payment submissions (FPS), and employer payment summaries (EPS) directly from the platform
  • Accounting integration: Sync salary journals straight into Sage Accounting 

Pros:

  • “This software is easy to use.” – verified review
  • “This is a great setup to clock in and out with and a great business platform.“ – verified review

Cons:

  • “If you make a mistake it can be time consuming to fix it, overcomplicated.” – verified review
  • “Payroll lacks the functions that the desktop has and I found that difficult to deal with.” – verified review

Pricing

  • Payroll Essentials: £10/mo
  • Payroll Standard: £20/mo
  • Payroll Premium: £30/mo

(This article includes platform features and pricing that reflect the information available on the Sage as of the publication date. Please consult the provider directly for the most current details.)

Xero

xero logo on a blue circle background, modern branding design for accounting software company

Xero is a cloud-based accounting and payroll platform aimed at small businesses, including those in the UK. Its payroll software is HMRC-recognized and can automate tax calculations, pension contributions, and RTI filings. They offer tools like pay calendars, self-service, and mobile access via the Xero Me app.

business dashboard, financial analytics, small business management

Features:

  • HMRC-recognized compliance: Automate tax submissions, pension assessments, and re-enrollment tasks
  • Self-service via Xero Me: Let teams access payslips, request leave, and submit timesheets online
  • Pension and Construction Industry Scheme (CIS) support: Handle workplace pensions and CIS deductions with built-in tools
  • Payroll automation: Calculate wages, taxes, and leave with minimal manual input

Pros:

  • “The dashboard provides a clear overview of financial health.” – verified review
  • “I find the payroll feature super easy to use.” – verified review

Cons:

  • “There’s no way to sort your payslips and the interface is a bit clunky.” – verified review
  • “They have removed payroll completely from the starter plan, so you have to go on to a plan that costs (quite literally) more than double to retain it.” – verified review

Pricing: 

  • Ignite: £16/mo
  • Grow: £33/mo
  • Comprehensive: £47/mo
  • Ultimate: £59/mo

(This article includes platform features and pricing that reflect the information available on the Xero website as of the publication date. Please consult the provider directly for the most current details.)

Implement the right UK payroll software for your business

Now that you’ve seen some of the best payroll software options in the UK, you’re ready to choose a platform that makes every payroll process faster, more accurate, and easier to manage. The right system saves admin time, reduces compliance risk, and gives your team the tools to get paid accurately—whether you’re paying 10 people or 1,000.

For companies that want more than just payroll, consider Bob. HR leaders who use Bob bring the entire HR operation into one place for onboarding, time tracking, compensation, performance, and beyond. It’s everything your team needs to pay people correctly, stay compliant with changing UK regulations, and support long-term growth.

Streamline payroll, save time, and reduce errors with Bob.

UK payroll software FAQs

What payroll software is approved by HMRC in the UK? 

Using HMRC-recognized payroll software is useful for reporting PAYE information online accurately and on time. These tools are tested for compliance and can handle key requirements like tax submissions, National Insurance (NI) calculations, and Real Time Information (RTI) reporting.

HMRC-recognized payroll platforms from our list include:

  • HiBob
  • BrightPay
  • Deel
  • Employment Hero
  • IRIS
  • QuickBooks
  • Rippling
  • Sage
  • Xero

Can I run my own payroll in the UK?

Yes, but it’s a lot to manage manually. Running your own payroll in the UK requires you to:

  • Register as an employer with HMRC
  • Choose payroll software (or handle calculations manually)
  • Record team member details and track pay/deductions
  • Report to HMRC on or before each payday
  • Keep detailed records
  • Pay the correct tax and NI to HMRC

It’s possible, but far easier to use a platform like Bob, which automates this entire process so you stay legally compliant, keep everything in one place, and use your valuable time to get in front of your people.

Can a non-UK resident be on a UK payroll?

Yes, under specific conditions. If a team member lives outside the UK and performs none of their work in the UK, they typically don’t fall under UK tax laws, and no PAYE income tax needs to be deducted. In these cases, it’s possible to pay someone on a gross basis through a UK payroll, but if any part of their work is performed in the UK, PAYE obligations may apply.

What is considered among the best payroll software in the UK?

The most effective payroll software handles all pay calculations and necessary tax filings without creating more work for your team. Look for a platform that offers automatic HMRC submissions, self-service, accurate payslip generation, built-in compliance updates, and seamless integrations with HR and finance systems.

Bob offers all of this in one user-friendly platform. HR leaders use Bob every day to automatically calculate accurate pay, support complex scenarios like parental leave or irregular hours, and adjust to different pay schedules like weekly, bi-weekly, or monthly. 

How to do payroll for a small business in the UK?

The easiest way to run payroll as a small business is to choose software that helps you stay compliant, automate repetitive tasks, and ensure everyone gets paid accurately and on time.

A step-by-step plan might look like this:

  1. Register with HMRC as an employer and get a PAYE Online login
  2. Choose payroll software that calculates pay, deductions, and generates payslips
  3. Add your people into the software and input their pay details, contracts, and tax codes
  4. Run your payroll each pay period—review, approve, and submit to HMRC
  5. Pay people via direct deposit and send payslips
  6. Pay HMRC the tax and National Insurance owed
  7. Keep records of pay, taxes, and submissions for compliance

You can automate most of these steps with a platform like Bob. This empowers you to spend less time on admin and more time growing your team.

Streamline payroll, save time, and reduce errors with Bob.

Madeline Hogan

From Madeline Hogan

Madeline Hogan is a content writer specializing in human resources solutions and strategies. If she's not finishing up her latest article, you can find her baking a new dessert recipe, reading, or hiking with her husband and puppy.