Navigating the Waters: Expanding Your Staffing Agency into the UK

I’ve always been drawn to the UK. As a child, I had the unique opportunity to live there for several years, and I was fascinated by the culture and people. I recently attended a breakout session at the Staffing Industry Analysts Executive Forum in Las Vegas titled “Crossing the Pond,” and it was packed with information to help agencies set up for success within the UK staffing market. Here’s a rundown of what I learned and some additional insights to consider:


Pros of Expanding into the UK:

  1. Diverse Margins: Margins vary across industries, offering many different avenues for staffing agencies to expand into.
  2. Thriving Education Sector: The education sector is massive in the UK, presenting a goldmine for staffing agencies.
  3. REC: The Recruitment and Employment Confederation (REC) is the UK’s version of the American Staffing Association (ASA), providing guidance and support to the industry.
  4. High Growth Potential: Despite being at the top end of growth among G7 countries, the UK still faces a shrinking domestic labor pool, creating ample opportunities for staffing agencies.
  5. Strategic Location: Ireland emerges as a promising location, offering proximity and potential for expansion alongside your UK venture.


Cons of Expanding into the UK:

  1. Regulatory Rigidity: Brace yourself for strict regulations. From stringent compliance standards to complex tax structures, navigating UK regulations demands adept legal and financial counsel.
  2. Market Saturation: With more staffing companies per capita than anywhere else, competition in the UK is fierce.


Challenges to Anticipate:

  1. Legal and Financial Hurdles: Prioritize securing top-notch legal and financial advisors. The UK’s highly regulated environment demands attention to compliance and tax obligations.
  2. Client Loyalty: Agencies in the UK tend to foster enduring relationships with clients, making it challenging for newcomers to break into the market.


Expanding into the UK isn’t just about boosting your EBITDA or margins; it’s about establishing your agency internationally and becoming stickier with your clients. Remember, the UK market offers promise and pitfalls, so proceed with careful planning and a resilient spirit.

With any new venture within the Staffing landscape, ensure your recruitment team has the right tools to help them succeed. With SmartSearch, you’ll have scalability through robust reporting, quality candidate experience, and over 35 years of reliability and expertise. See why staffing professionals call SmartSearch the best-kept secret in the industry and request a demo today.

Trending Topics for Top Recruiters

The Power of Personalization in Recruitment Feature Image

The Power of Personalization in Recruitment

How often have you found a rockstar candidate on LinkedIn and attempted to engage...
Read More
Refresh Your Candidate Pool: Spring Cleaning Strategies

Refresh Your Candidate Pool: Spring Cleaning Strategies

As flowers bloom and days lengthen, spring brings a sense of renewal and opportunity. It’s...
Read More
Feature Image: Eclipse Traditional Recruiting Methods with SmartSearch

Eclipse Traditional Recruiting Methods with SmartSearch

In talent acquisition, traditional recruiting methods often find recruiters struggling to...
Read More