Last reviewed: 19.11.2025
What is the current situation?
SSP is currently paid from the fourth day of sickness absence at a flat weekly rate (£118.75 per week from 6 April 2025, reviewed annually).
To qualify, employees need to be earning more than the Lower Earnings Limit, which is currently £125 a week (reviewed annually).
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 are expected to take effect in April 2026.
What you need to do
The timing of some of these actions will depend on when the detail of the new laws is finalised and when the changes come into force. However, you can start to plan now:
- Review your policies 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. This means that you will need your policies and procedures to be robust and support your business’s aims.
- 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 we can help
- Sign up to our updates as the legal changes come in, so you can stay compliant and up to date.
- We have detailed HR and employment law guidance, template policies and letters on our website in the HR & Legal Resources section, which will be maintained as the changes come into force.
- Our team of employment lawyers is happy to help if you’ve got questions or need advice. And if you need hands-on support with any projects as you prepare for the changes, our HR and legal consultants can work with you to get the right steps in place and stay compliant.
- Use our ERB enquiry line ([email protected]) for real-time access to legal specialists when you need quick answers about the Employment Rights Bill.
- Ask about our Right track review (coming soon): A focused, in-business audit with clear, practical steps to keep you compliant.
- You can also shape future policy. We speak regularly with Government and feed into consultations, using input from businesses like yours.
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 day-to-day issues and bigger picture planning.
- The chance to help shape Government policy.
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