Chamber News
Government announces changes to sick pay
4 March 2025 • Sarah Medcraf
Britain’s 1.3 million lowest-paid workers will soon be eligible for sickness payments from their employers, set at 80% of their usual pay, as part of plans to be announced by ministers later this week.
These changes will be included in updates to the employment rights bill, a key promise in Labour’s election manifesto, which is expected to cost businesses billions annually.
Currently, workers earning less than £123 a week do not qualify for statutory sick pay (SSP), but the upcoming reforms will extend eligibility to all workers from day one of sickness. For those earning less than £123, this will mark the first time they can access SSP. Other workers will continue to receive £116.75 a week, which increases to £118.75 from April, after three days of sickness.