Starting this April, significant changes to Statutory Sick Pay (SSP) will take effect across the UK, bringing new protections and benefits for millions of workers. The Labour Party government has introduced reforms aimed at making sick pay more accessible and fair, especially for lower-paid and part-time employees.
One of the most notable changes is the removal of the three-day waiting period for SSP. Under the new rules, employees will be entitled to sick pay from the first day of their illness, rather than after three days of absence. This means workers will no longer have to face a loss of income during short-term sickness.
Another important reform is the elimination of the lower earnings threshold. Previously, only employees earning £125 or more per week qualified for SSP. With this threshold removed, many workers who earn less, including a large number of women in part-time roles, will now be eligible for statutory sick pay for the first time.
Additionally, the calculation of SSP has been updated for fairness. Sick pay will be paid at whichever is lower: the current flat rate of £123.25 or 80% of an employee’s average weekly earnings. This change ensures that workers with lower or fluctuating incomes receive a fairer sick pay amount.
Labour’s Minister for Employment, Dame Diana Johnson, emphasized the impact of these reforms: “No one should ever have to choose between their health and earning a living. For too long, sick employees have faced impossible choices. These landmark changes will help workers recover properly while supporting businesses with a healthier, more productive workforce.”
Employers are encouraged to adopt supportive sickness absence policies, as advised by ACAS. Such policies not only foster trust and employee wellbeing but also reduce the risk of disputes and potential tribunal claims. In particular, the new Fair Work Agency will begin enforcing SSP regulations from April 2026, underscoring the importance of compliance.
Overall, these reforms represent a substantial investment of £400 million annually into sick pay provision and mark a significant step forward in workers' rights and wellbeing across the UK.