# The Social Security Contributions and Benefits Act 1992 (Modification of Section 4A) Order 2026, Note: Explanatory note


(This note is not part of this Order)
This Order modifies section 4A of the Social Security Contributions and Benefits Act 1992 (“SSCBA”) in consequence of the insertion of Chapter 11 of Part 2 of the Income Tax (Earnings and Pensions) Act 2003 (“ITEPA 2003”) by the Finance Act 2026.
Article 2(a) inserts new paragraph (2C) and provides the Treasury with a power to treat a person as jointly and severally liable, with an umbrella company, for contributions payable in respect of earnings provided to or for the benefit of a worker, where that person is already jointly and severally liable in relation to income tax under Chapter 11 of Part 2 of ITEPA 2003.
It further permits regulations to make provision for the recovery of such contributions from a jointly liable person.
In addition, where an individual is treated for income tax purposes, by virtue of section 61Z1 of ITEPA 2003, as holding an employment with a purported umbrella company, regulations may secure that payments or benefits of a specified description are treated as earnings for contributions purposes, that the individual is regarded as employed in relation to those payments or benefits, and that the purported umbrella company is treated as the secondary contributor in respect of those payments or benefits.
Paragraphs (b) and (c) of Article 2 make further modifications to subsections (3) and (4) of section 4A of the SSCBA to provide powers to disregard an employed earner’s employment, in relation to relevant payments or benefits, and for the deduction of specified amounts, in respect of general expenses, and secondary Class 1 contributions.
A Tax Information and Impact Note covering this instrument has been published on the website at: https://www.gov.uk/government/publications/paye-changes-for-the-umbrella-company-market.

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Source: https://www.legislation.gov.uk/uksi/2026/341/note (the official version)
Page: https://openlegislation.uk/social-security-contributions-and-benefits-act-1992-modification-of-section-4a-order-2026/note
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.