What is the current situation?

SSP is currently paid from the fourth day of sickness absence at a flat weekly rate. 

To qualify, employees need to be earning more than the Lower Earnings Limit, which is currently £125 a week.

So what’s changing and when?

The Employment Rights Bill will require employers to pay SSP from the first full day of sickness absence, removing the three-day waiting period.

It will also remove the Lower Earnings Limit, and all eligible employees will be paid either the SSP flat rate or 80% of their weekly earnings – whichever is lower.

These changes will increase the number of employees eligible for SSP and bring forward the point at which payments must begin.

These reforms will take effect in April 2026.

What you need to do now

  • Check if your policies will need updating to reflect employees’ entitlement to SSP from day one of their absence. Work with payroll to adjust the mechanics of payment, and calculate any extra costs for your organisation.
     
  • Review your attendance management procedures including the trigger thresholds where managers intervene in cases of repeated absence. If you do not pay company sick pay, paying SSP from day one could result in more short-term absences, so you may need to spend more time managing employees’ attendance.
     
  • Make sure your managers are well-equipped and confident to apply your attendance management procedures, including conducting return-to-work interviews. Give managers thorough training where needed.

How Make UK can help you

Whether you’re already getting support from us or you’re just starting to explore your options, we’re here to help you plan for the Employment Rights Bill changes and protect your business.

Already getting support from Make UK? 

You’ll receive updates from us as key legal changes come in, so you can stay compliant and up to date.

Detailed HR and employment law guidance can also be found in the HR & Legal Resources section of our website. This includes template letters and policies relating to attendance management.

If you’ve got questions or need advice, your Make UK legal adviser is on hand to help, including arranging line manager training on managing attendance and dealing with sickness absence and HR policy reviews.

Our HR and legal consultants can also provide hands-on support on any projects as you prepare for these changes.

You can also shape future policy. We speak regularly with Government and feed into consultations, using input from businesses like yours. 

New to Make UK?

You don’t have to face the changes alone. Whether you need quick input or ongoing support, we can help you however works best for your business.

One-off, practical support

If you want focused help to get ready for the changes:

  • Project support: Hands-on help from our HR and legal consultants to get the right steps in place and stay compliant
     
  • Right Track Review (coming soon): A focused, in-business audit with clear, practical steps to keep you compliant
     
  • ERB Hotline (coming soon): Real-time access to legal specialists when you need quick answers about the Employment Rights Bill
     

Ongoing employment law and HR support


For longer-term support, our retained service includes:

  • Direct access to employment law experts
     
  • Regularly updated HR policies and templates
     
  • Advice for both day-to-day issues and bigger picture planning
     
  • The chance to help shape Government policy
     

Not sure what you need?

Call 0808 168 5874 or fill out the form and we’ll get in touch.

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06/08/2025

Note: The Employment Rights Bill is still completing its passage through Parliament and its content has not yet been finalised. In addition to possible amendments to the Bill, many of the reforms require consultations and regulations before implementation. Our Spotlight Guides reflect our current understanding of the likely final content, but this may change. The information provided in this Spotlight Guide is for general informational purposes only and should not be considered legal advice.