Statutory Sick Pay Update
- Croner
- 2 days ago
- 3 min read
The UK Government, via the Employment Rights Act 2025, has reformed Statutory Sick Pay (SSP) effective as of April 2026 by removing the Lower Earnings Limit. This makes Statutory Sick Pay available to all employees regardless of earnings and removes the three-day waiting period, so SSP is payable from the first full day of sickness absence, with the rate set at the lower of 80% of average weekly earnings or the flat rate (currently £123.25 per week).
These changes, enforced by the new Fair Work Agency, aim to enhance worker financial security, support recovery and increase workplace productivity, though they increase costs and compliance burdens for employers, especially in low-wage sectors.
The Employment Rights Act 2025 is a key part of the UK Government's plan to Make Work Pay. It has reformed existing laws to:
Improve worker rights.
Create a more equitable economy.
Increase job security and living standards.
The Act has transformed Statutory Sick Pay (SSP) and entitlement to it. In this article, Croner explains the current SSP rules, now fully in force, and what they mean for employers.
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