Cross-border executive appointments — key UK tax & corporate considerations

We outline the key payroll, tax and governance issues that overseas companies typically face when appointing a UK‑based executive.
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AuthorsGeorgina Rothwell
5 min read

In 1987, nearly two‑thirds of Britons told the British Social Attitudes survey that they believed homosexuality was “always wrong”. This stark statistic reflects a workplace climate in which LGBTQ+ people had little legal protection and discrimination wasn’t only common but widely accepted. What followed over the next four decades was a profound shift to recognition, rights and the challenge of balancing competing protections in a modern workplace.
Here, Georgina Rothwell traces that evolution — from the period before dedicated protections to the key rulings and legislation that now shape how employers navigate LGBTQ+ rights — and outlines how employers can put these protections into practice effectively.
Until the early 2000s, there was no dedicated UK employment protection for sexual orientation and recognition for transgender workers was limited and inconsistent. Cultural headwinds reinforced stigma, leaving many employees with little meaningful recourse if they were treated unfairly because of their identity.
Section 28 of the Local Government Act 1988 further discouraged support of the LGBTQ+ community by prohibiting local authorities from “promoting homosexuality” or teaching its acceptability. It created a chilling effect across schools and publicly funded services and signalled to employers that exclusion was acceptable up until the provision’s repeal in November 2003.
Momentum began to build through a combination of European rulings and domestic reform.
In the Armed Forces, the ban on gay service was lifted in January 2000 after the European Court of Human Rights (ECHR) ruled in Smith and Grady v UK that it breached the right to respect for private life (Article 8). The judgment didn’t just set out the legal principles — it recorded how service police inquiries were “exceptionally intrusive” with hours of questioning about intimate relationships and family life, searches of accommodation and seizure of personal contact lists before distinguished careers were ended solely because of sexual orientation.
In place of the ban, the Ministry of Defence adopted a sexual‑orientation‑neutral Code of Social Conduct, embedding privacy and dignity as core service standards. This marked a decisive move away from blanket exclusion, making it clear that such policies could no longer withstand human rights scrutiny.
In addition, the EU Employment Equality Directive (2000/78/EC) led to the UK’s Employment Equality (Sexual Orientation) Regulations 2003 that outlawed discrimination and harassment at work on the grounds of sexual orientation.
The ECHR’s judgment in Christine Goodwin v UK paved the way for the Gender Recognition Act 2004, giving transgender people a route to legal recognition of their acquired gender. Together, these changes created practical, enforceable rights at work.
The Equality Act 2010 unified the landscape, protecting against direct and indirect discrimination, harassment and victimisation across the employment lifecycle, with the Public Sector Equality Duty steering policy and decisions.
Case law has since clarified real‑world application:
While the employment tribunal in Forstater v CGD held that gender‑critical views can amount to a protected philosophical belief, that protection doesn’t give anyone a licence to discriminate.
Tribunals and courts are increasingly focused on balancing conflicting rights through necessity and proportionality:
The UK Supreme Court’s 2025 decision in For Women Scotland Ltd v Scottish Ministers that ruled ‘sex’ in the Equality Act refers to biological sex adds further definition to how these protections interact. Guidance in this area is expected to continue evolving.
UK employment law now provides protection for LGBTQ+ workers as well as for individuals with protected beliefs. The overarching principle that guides tribunal decisions is one of balance: employers must prevent discrimination and harassment while also managing legitimate workplace aims in a proportionate way.
To meet their legal duties, employers should:
This topic remains an area of law that’s rapidly evolving, with new legislation and case law frequently shaping the rights and responsibilities of both employers and employees. If you have questions or need support navigating these changes, our specialist employment team is here to help you to stay informed and compliant.
We help employers put the law into practice by:
Talk to our team by calling 0333 004 4488, emailing hello@brabners.com or completing our contact form below.

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