Employing a UK resident as a foreign company

My company that is based in the Netherlands and currently only has Dutch employees is looking to employ an individual that lives in the UK. This individual would work remotely from the UK. It seems logical to mee that he should pay UK insurance contributions. From what I could find it seems I need him to fill out a ca3821 form so that I don't have to pay insurance contributions in the Netherlands for him. For this I need a PAYE reference number it seems. When I try to apply for a PAYE number it asks me for a national insurance number, which I do not have. Does anyone know which forms I need to fill in or what I need to apply for to make this happen? Kind regards, Freek

Isn't easy to employ him as self employed sole trader through a simple contract and pay in the way as any other company/service provider? He would just send to your company invoices and be responsible for his own tax. Would save a lot of time, won't need to report to the UK authorities anything about him from your side. Just opinion, I'm not an expert

Hi freek,
With the employer being a registered business within the EU, the first thing we would query is whether the employee is covered by the withdrawal agreements or trade + co-operation agreement. If you are unsure, please speak with our NICO international caseworkers onNational Insurance: general enquiries. If the employee is covered by one of these agreements, the employer requires a full PAYE scheme, or a NI scheme and the employee pays and declares their tax liability via SA. You can either call us to register for a PAYE scheme or register here: Register as an employer if you are having issues. If you wish to discuss further, call us on Employers: general enquiries.
Thank you.

Thank you for the suggestion Gordon12, but unfortunately such a structure would not be desired by either party. Thank you for the response Admin 18, I believe I have figured out that this case should fall under PAYE20100 in the manual, as the employee does not fall under the withdrawal agreement. Setting up a DPNI should allow him to make his own NI contributions if I am not mistaken. Could you please verify if I made the correct assumption here? Kind regards, Freek

Hi freek,
A DPNI would allow an individual to run payroll and pay tax and NI, A DCNI scheme would allow them to pay just NI and they would declare the tax on a Self Assessment.
Thank you.

Thank you for checking and the earlier help you provided. Have a nice day!