The UK Government has announced upcoming changes to Statutory Sick Pay (SSP) that will significantly expand who qualifies and how it is paid. These reforms, due to take effect in April 2026, will impact both employees and employers across the country.
Here’s what you need to know.
Current Statutory Sick Pay rules
At present, to qualify for SSP you must:
- Be classed as an employee and have completed some work for your employer
- Earn an average weekly wage of at least £125.00 (the lower earnings limit)
- Be off sick for at least four consecutive days
If these conditions are met:
- The first three qualifying days are treated as waiting days – SSP is not paid for them
- SSP is payable from the fourth qualifying day onwards
What are “qualifying days”?
Qualifying days are the days an employee is scheduled to work and be paid.
Example:
If an employee works Monday, Tuesday, Thursday, and Friday, those are their qualifying days. Wednesday is excluded from the calculation.
If that employee is off sick for four consecutive days (Monday to Thursday):
- Monday, Tuesday, and Thursday are waiting days and unpaid
- Only Friday would be paid at the SSP daily rate
How SSP Is currently paid
The weekly SSP rate is currently £118.75.
To calculate the daily rate:
- Divide £118.75 by the number of qualifying days in the week
- Multiply by the number of SSP-eligible days
Example:
For the employee above (4 qualifying days/week):
- Daily rate = £118.75 ÷ 5 = £23.75
- SSP payable for Friday only = £23.75
The changes from April 2026
Two key changes are coming into effect:
- Removal of the lower earnings limit – Employees will no longer need to earn at least £125.00 per week to qualify for SSP
- Removal of the waiting days rule – SSP will be payable from the first qualifying day of sickness
Example under new rules:
Using the earlier scenario, the employee would now receive SSP for all four sick days:
- £23.75 × 4 = £95.00 total
What this means for employees and employers
- Employees – More workers than ever will qualify for SSP, including part-time and low-income earners. Payment will start sooner, providing greater financial support during illness.
- Employers – While this change offers clear benefits to staff, it may increase costs for businesses, especially those with high levels of sickness absence. Planning for this change will be essential.
If your business needs advice on preparing for the Statutory Sick Pay changes in 2026, our payroll team at Lambert Chapman can guide you through the impact and help you update your policies.
Disclaimer
The views expressed in this article are the personal views of the Author and other professionals may express different views. They may not be the views of Lambert Chapman LLP. The material in the article cannot and should not be considered as exhaustive. Professional advice should be sought in connection with any of the issues contained in the article and the implementation of any actions.