UK Employers Face Sick Pay Changes
British employers are preparing for upcoming changes to Statutory Sick Pay (SSP) regulations. The new rules are expected to create new compliance and cost challenges for businesses. As fitness studios expand their teams, understanding these HR changes will be critical for financial planning and employee relations.
- Effective April 6, 2026, Statutory Sick Pay (SSP) will be payable from the first qualifying day of absence, as the current three-day "waiting period" is being abolished. - The Lower Earnings Limit (LEL), which currently requires an employee to earn at least £125 per week to qualify for SSP, will be removed entirely. This change is expected to make approximately 1.3 million additional workers eligible for sick pay. - The weekly rate of SSP is set to increase to £123.25. - For lower-paid employees, the amount of SSP they receive will be the lower of either the flat rate of £123.25 or 80% of their average weekly earnings. - These reforms are part of the Employment Rights Act 2025 and represent the most significant changes to the SSP system since 1985. - Transitional protections will be in place for employees already receiving SSP before the April 6, 2026 changes, ensuring they continue to receive the uprated flat rate until they return to work or their entitlement ends. - The changes apply across the entire UK, affecting businesses in England, Scotland, Wales, and Northern Ireland.
