We are proud to announce that Parolla has achieved ISO/IEC 27001 certification.
ISO 27001 is the internationally recognised standard for information security management. Achieving certification confirms that Parolla has implemented a structured and independently assessed system for identifying security risks, protecting information and continually improving how security is managed throughout our business.
For a payroll software provider, this is particularly important.
Payroll platforms process some of the most sensitive information held by any organisation, including employee names, addresses, PPS numbers, salaries, bank details, tax information and employment records.
Protecting that information requires much more than secure servers and encrypted connections. It requires information security to be embedded in the policies, processes, technology and everyday working practices of the entire company.
A journey that began in June 2025
Parolla’s formal ISO 27001 certification journey began in June 2025 with an initial gap analysis.
The purpose of the gap analysis was to compare our existing security arrangements against the requirements of ISO 27001 and identify areas where further work, documentation or evidence was required.
While Parolla already had extensive security controls in place, the analysis helped us establish a clear programme of work to bring those controls together within a formal Information Security Management System, commonly referred to as an ISMS.
The process required contributions from across the business and covered our infrastructure, software development practices, internal procedures, suppliers, access controls, risk management and staff responsibilities.
Additional training for all staff
One of the actions identified following the gap analysis was the need for additional information security training across the organisation.
Every member of staff completed further training to ensure that information security responsibilities were understood throughout the business.
This included awareness of subjects such as data protection, phishing, access security, incident reporting, secure handling of information and each employee’s responsibilities under the ISMS.
Technology is only one element of information security. Staff awareness, clear responsibilities and consistent working practices are equally important.
Moving our servers and services to Europe
As part of the certification programme, Parolla also completed a significant infrastructure project to ensure that our servers and supporting services were located within Europe.
This involved reviewing the technologies and service providers used across the Parolla platform and replacing services where necessary.
Moving these systems was not simply a hosting exercise. It required careful planning to maintain security, resilience, availability and performance while services were migrated.
The result gives Parolla greater control and visibility over where our systems operate and supports our wider commitments to European data protection, privacy and data sovereignty.
Reviewing and aligning our suppliers
ISO 27001 also requires organisations to understand and manage the security risks associated with third-party suppliers.
Throughout the certification journey, we reviewed the suppliers that support the delivery and operation of Parolla.
Supplier security arrangements, agreements and responsibilities were validated and, where required, updated to ensure that they remained aligned with Parolla’s information security requirements.
This process included examining how suppliers handle information, where services are delivered, what security assurances are available and how risks are managed throughout the supplier relationship.
Using reputable suppliers is important, but ISO 27001 also requires Parolla to actively assess and manage those relationships rather than relying solely on a supplier’s own certifications.
Successful Stage 1 audit in April 2026
Following the implementation of the ISMS and the completion of our initial programme of improvements, Parolla undertook its Stage 1 certification audit in April 2026.
The Stage 1 audit focused primarily on whether the required management system had been established and whether Parolla was ready to proceed to the more detailed Stage 2 assessment.
This included a review of the scope of our ISMS, our security policies, risk assessments, Statement of Applicability, internal audit arrangements and management-review processes.
The Stage 1 audit was completed successfully, allowing Parolla to move forward to the final certification audit.
Five intensive days of external audit
The Stage 2 audit was completed in July 2026.
Across the Stage 1 and Stage 2 process, Parolla underwent a total of five intensive days of review by external auditors.
The Stage 2 audit examined whether our information security controls were not only documented, but also implemented and operating in practice.
The auditors reviewed evidence, interviewed staff and examined how Parolla manages security throughout its daily operations.
Areas assessed included:
- Information security risk management
- Software development and change control
- Access management
- Infrastructure and network security
- Data protection and retention
- Supplier and third-party management
- Incident detection and response
- Business continuity and disaster recovery
- Staff responsibilities and security awareness
- Monitoring, internal auditing and continual improvement
Following the successful completion of the audit process, ISO 27001 certification was awarded to Parolla.
More than a technology certificate
ISO 27001 certification does not apply only to Parolla’s hosting environment or data centre.
It applies to our Information Security Management System and therefore considers how security is managed throughout the organisation.
This includes the policies, responsibilities, processes and technical controls used to protect information from the moment it enters our systems through to its processing, storage, transmission, retention and eventual deletion.
The certification also examines how Parolla identifies risks, responds to incidents, manages changes, reviews suppliers, trains staff and continually improves its controls.
Why ISO 27001 matters for payroll
Payroll information is particularly valuable to criminals because it combines identity, financial and employment data.
A security failure could expose employees to fraud, cause significant disruption for employers and create serious regulatory and reputational consequences.
ISO 27001 provides Parolla with a formal framework for managing these risks.
It requires us to identify potential threats, assess their likelihood and impact, implement proportionate controls and regularly review whether those controls remain effective.
It also means that security cannot be treated as a one-off project.
Our ISMS requires ongoing audits, management reviews, corrective actions, risk assessments and continual improvement. As technology, regulations and threats change, our security controls must evolve with them.
Certified is different from “aligned”
Businesses researching software providers will often encounter phrases such as:
- “Aligned with ISO 27001”
- “Built using ISO 27001 principles”
- “Hosted in an ISO 27001-certified data centre”
- “Our cloud provider is ISO certified”
These statements may indicate that some useful security practices are in place, but they are not the same as the software provider itself being independently certified.
Using an ISO-certified hosting provider does not automatically assess how a software company develops its application, manages staff access, controls software releases, responds to incidents or protects information throughout its wider operations.
Similarly, describing a business as “aligned” with ISO 27001 does not necessarily mean that its controls have been independently audited.
Parolla’s certification applies to the management system operated by Parolla itself.
What this means for Parolla customers
Customers do not need to make any changes as a result of the certification.
The benefit is the additional assurance that Parolla’s approach to information security has been independently assessed against an internationally recognised standard.
For employers, accountants and payroll bureaus, the certification may also support their own supplier due-diligence, risk-management and data-protection processes.
ISO 27001 does not mean that security risks disappear. No responsible organisation should make that claim.
It demonstrates that Parolla has a formal and independently verified system for identifying risks, managing them and improving its controls over time.
Certification is a milestone, not the finish line
Receiving the certificate is an important achievement, but it is not the end of the process.
Maintaining ISO 27001 certification requires continued surveillance audits, internal reviews, management reviews, risk assessments and evidence that our controls remain effective.
We will continue investing in the security, availability and resilience of the Parolla platform as our business grows and the threat landscape changes.
We would like to thank everyone who contributed to the certification process, including our staff, advisers, auditors, suppliers and customers.
Parolla is ISO 27001 certified, and we remain committed to protecting the payroll information entrusted to us.