Locum vs Permanent: Which Path is Right for You?

Locum vs Permanent: Which Path is Right for You?

Posted on 12 October 2025

Locum vs Permanent: Which Path is Right for You?

One of the biggest decisions in a veterinary career is whether to work as a locum or take on a permanent role. Both can be rewarding, but they offer very different lifestyles and financial implications. 

At Vetmatch, we work with vets and nurses across both career paths, so we understand the realities. Here’s our guide to help you decide which might be right for you. 

The Case for Locum Work 

Pros: 

  • Flexibility – choose when, where, and how often you work. 

  • Variety – experience different practices, caseloads, and teams. 

  • Potentially higher rates – daily or hourly rates can add up, especially for short-notice cover. 

  • “Try before you buy” – test a practice without committing long-term. 

⚠️Cons: 

  • Less stability – work can be harder to find in quieter periods. 

  • Rates are shifting – demand isn’t as high as in previous years, and some employers are lowering locum rates. 

  • No benefits – sick pay, holiday pay, and CPD allowances are not usually ncluded. 

  • Admin responsibility – arranging your own tax, insurance, and compliance. 

The Case for Permanent Roles 

Pros: 

  • Stability – predictable income, rotas, and benefits. 

  • Career progression – clearer paths to senior roles, specialist training, and leadership. 

  • Support & CPD – funded training, structured mentorship, and more consistent development. 

  • Team belonging – being part of a stable team can be highly rewarding. 

⚠️Cons: 

  • Less flexibility – rotas are set by the practice. 

  • Lower short-term pay – compared to locum daily rates. 

  • Commitment – contracts can involve notice periods and less freedom to move on quickly. 

Tax & Financial Considerations 

This is one of the biggest differences between locum and permanent work — and it’s often overlooked. 

Permanent Staff 

  • Paid via PAYE (Pay As You Earn). 

  • Income tax and National Insurance deducted automatically. 

  • Benefits like sick pay, holiday allowance, pensions, and CPD usually included. 

  • Very straightforward — no need to manage accounts or tax returns. 

Locums 

Locums can be paid in different ways, each with pros and cons: 

  1. Umbrella Company (PAYE through umbrella):

  • You’re technically employed by the umbrella company. 

  • They deduct tax and NI, then pay you. 

  • Simple to manage but usually less tax-efficient (umbrella company takes a fee). 

  1. Limited Company (PSC – Personal Service Company):

  • You set up your own company and invoice practices. 

  • Can be more tax-efficient (dividends, expenses, allowances). 

  • Requires an accountant and admin. 

  • BUT: subject to IR35 rules (if HMRC deems you effectively an “employee,” you may be taxed as PAYE). 

  1. Direct PAYE Locum:

  • Some practices hire locums directly on PAYE. 

  • Tax and NI deducted by the employer. 

  • Less admin, but you don’t get the tax flexibility of a limited company. 

IR35 – Why It Matters 

IR35 rules are designed to stop people working “like employees” through limited companies just to save tax. Many large vet groups now insist locums work under umbrella or PAYE to reduce risk. 

👉 In practice: if you’re working fixed hours, under direct supervision, and integrated into a team, HMRC is more likely to class you as “inside IR35” — meaning PAYE-style taxation applies. 

Which Path Is Right for You? 

It depends on your priorities: 

  • Want freedom, variety, and to explore different practices? Locuming may suit you.

  • Want security, development, and a place to grow your career? A permanent role is often the better choice.

Many professionals use locum work as a stepping stone — gaining experience, testing practices, and then settling into a permanent role when they find the right fit. 

How Vetmatch Can Help 

Whether you’re looking for locum or permanent work, we’ll: 

  • Listen to your goals and lifestyle needs. 

  • Present roles that genuinely fit. 

  • Negotiate terms on your behalf. 

  • Support you every step of the way. 

Final Thought 

There’s no “one-size-fits-all” answer — the right path is the one that matches your career goals and your life outside work. 

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Browse Permanent Jobs


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