Statutory payment rates and the Vento bands receive their usual annual increases this month, alongside major UK wide reform of Statutory Sick Pay (SSP) eligibility rules. In Northern Ireland, the new financial year also sees the introduction of paid miscarriage leave.

 

SSP changes from 6 April

SSP eligibility rules are changing as part of the Employment Rights Act 2025 reform package. While the majority of the ERA only applies in GB, the SSP changes will apply UK wide, including in Northern Ireland.

• The three “waiting days” will be removed and SSP will start from day one of absence.
• The lower earnings limit of £125 per week will be removed.
• The SSP rate will be calculated at 80% of average weekly earnings or the flat weekly rate (£123.25), whichever is lower.
• Transitional arrangements will apply to absences spanning pre and post 6 April.

These changes will significantly extend the application of SSP to all employees, for all absences up to the 28-week maximum.

Employers should:

• Update template employment contracts to remove reference to “waiting days”.
• Update absence policies to reflect the new eligibility rules.
• Consider whether any company sick rules should be updated.
• Consider the potential impact on staff absence levels, and whether current policies remain fit for purpose, particular those dealing with frequent short-term absence.

While these changes will increase employer costs, it is worth remembering that with the notable exception of Ireland, the UK’s statutory sick pay scheme is still significantly less generous than comparable European states, including Germany, France and the Nordic countries.

 

Introduction of paid miscarriage leave from 6 April

NI will become the first UK region to introduce the right to paid miscarriage leave from 6 April 2026. This change extends the current rules on parental bereavement leave and pay to provide the right to two weeks’ paid leave following a miscarriage.

Leave will be available to both the affected woman and their partner or other eligible persons and paid at the statutory rate, with parental bereavement pay also becoming a day one right.

 

Annual increase to employment rates and limits from 6 April

The usual inflationary adjustments have been made to the payment rates and limits used to work out an employee’s statutory redundancy pay and unfair dismissal awards:

*Or one year’s gross pay, whichever is higher.

**Until the cap is removed from 1 January 2027.

 

Annual increase to the Vento bands from 6 April

The President of the Employment Tribunals has published updated Presidential Guidance on the “Vento” bands for calculating injury to feeling and psychiatric injury awards in discrimination cases, available for claims presented on or after 6 April 2026:

 

National Minimum Wage increases from 1 April

The NMW will increase for all UK employers:

 

SSP and family leave-related pay increases from 6 April

Annual increases will apply across the various forms of paid statutory leave:

 

For legal guidance and advice regarding the changes or any Employment Law queries, please contact Jack Balmer or another member of our Employment Team for more information.

While great care has been taken in the preparation of the content of this article, it does not purport to be a comprehensive statement of the relevant law and full professional advice should be taken before any action is taken in reliance on any item covered.