Five reasons why outsourced HR support is the cost-effective option in 2026

However your business is faring in the current economic climate, managing your team effectively remains a top priority for success. There are many challenges we cannot wave a magic wand at to make them disappear, but when it comes to HR we are here to help. 

In fact, we wanted to share five ways in which choosing an outsourced HR option like The HR Dept will deliver you value for money and positive outcomes in 2026.

1. Lower costs than in-house appointments

If you have a dedicated in-house HR person, we are not suggesting getting rid of them. But if you are thinking about a first hire in this space you should weigh up the cost advantages of outsourcing instead. As well as a salary, there is employer NI, pension, training, their office and software overheads. You may be looking at salary + thousands (or even tens of thousands) of pounds.

Our outsourced solution, on the other hand, is just one straight-forward fee, much lower than you would otherwise pay.

2. Flexibility and scalability

Our service is flexible, with options to tailor it to your precise business needs. We offer pay as you go services, say if you need specific help with your recruitment process, a disciplinary investigation, redundancy or long-term sickness.

We also offer a retained service, payable monthly which gives you unlimited telephone and email advice as well as regularly updated policies, contracts and company handbooks; and even tribunal indemnity insurance (a big benefit). And if neither of those quite fit, we can tailor a package more unique to you.

As well as this flexibility, you also get scalability. So if you go under a period of rapid expansion (or contraction), we can just move you up or down the appropriate package, rather than you having to worry about hiring extra HR staff, or moving them on.

3. Core competency

Some businesses find it expedient to assign HR duties to a non-specialist like an office manager. While this may work to an extent, it comes with several downsides. For instance, it may distract them from other aspects of their role, or they may get caught out by a complex situation or the frequent employment law changes that come with HR. 

An outsourced HR service can either take this part of the work off their hands, freeing them up to concentrate on other areas, or offer valuable support to help them stay on top of everything, including acting as HR holiday cover.

4. Higher level knowledge and resources

One of the real beauties of our service is that we have HR director level support for our clients across the country, giving you access to a higher calibre of expertise. Moreover, because we have dozens of offices it creates a network effect where through shared knowledge we can overcome any scenario optimally.

5. A predictable and measurable expense

On average in the UK, three in ten employees will leave service and go to work somewhere else each year. If or when this happens with your HR staff, it means unpredictable extra recruitment and on boarding costs. Bypass this with an outsourced service. We will stay by your side for as long as you need us, giving you a predictable and measurable expense.

Find out more

We’d love to hear from you and explain how we can find the perfect HR solution for your business. We are on your side as employer, understanding all the pressures you face. We focus on providing pragmatic, compliant advice, telling you what you can do, not what you can’t. And with the Employment Rights Act looming, we are here to do the hard work for clients with all the changes due.

So if you are interested, get in touch to find out more. Call us on 0117 970 2955 or email advice@hrdept.co.uk