Employment Agencies Act (EAA) 2003

The Conduct of Employment Agencies and Employment Business Regulations 2003

The review of the employment agencies regulations came into force on 6 April 2004 as the 'conduct of employment agencies / business regulations 2003'. These are intended to update the regulation of the recruitment industry in the UK. Project Resource operates to levels well beyond the statutory minimum required.

• Definitions
  
  The regulations aim to legislate for different types of business: employment agencies and employment businesses. 'Employment businesses' are suppliers of temporary/ casual workers to employers; whilst 'employment agencies' introduce workers to the employer for direct employment by the employer.

If you want to read the Act in full: http://www.opsi.gov.uk/si/si2003/20033319.htm