As the holiday season approaches, HMRC is urging anyone working on Christmas Day to double-check their pay to avoid being short-changed. Recent investigations uncovered that over 25,000 UK workers were underpaid, with wage arrears totaling £5.8 million in 2024-25 alone.
HMRC emphasizes that all workers, including temporary festive staff in retail, hospitality, warehouses, and other sectors, are entitled to at least the National Minimum Wage or National Living Wage. This guarantee extends to those on short-term contracts in places such as Christmas markets, pubs, restaurants, and garden centres.
Officials advise workers to carefully review their hourly rates and look out for common causes of underpayment. These include unpaid working hours spent arriving early, staying late to open or close premises, performing cleaning duties, or completing mandatory training outside of paid hours. Additionally, deductions for uniforms or equipment that reduce pay below minimum wage are prohibited and should be reported.
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Kevin Hubbard, HMRC’s Director for Individuals and Small Business Compliance, stresses the importance of vigilance: “We want to make sure that workers are paid correctly this Christmas. People should check their hourly rate and watch for any deductions or unpaid time, which could bring their pay below the minimum wage.”
If workers suspect they have been underpaid—even if they no longer work for the employer—HMRC encourages them to take action. Reports can be made confidentially online in around five minutes, at any time, even after employment has ended. Alternatively, workers can seek free, confidential advice by calling the Acas Pay and Work Rights Helpline at 0300 123 1100.
Employers are also urged to ensure compliance with wage laws. They can access guidance from Acas or the Labour Relations Agency in Northern Ireland to avoid penalties and support fair pay practices.
This festive season, HMRC’s message is clear: check your pay, understand your rights, and report any issues to ensure a fair and rewarding Christmas.