Understanding Your Payslip: What Changes From April 2026

The Employment Rights Act 2025 — the biggest overhaul of UK employment law in a generation — is being rolled out gradually through 2026 and 2027. Several changes already affect what should be showing up on your payslip. Knowing what to look for means you can catch an employer error before it costs you money.

What's already changed in 2026

From 1 April 2026, the National Living Wage rose to £12.71 an hour for workers aged 21 and over, with the National Minimum Wage set at £10.85 for 18-20 year-olds and £8.00 for both 16-17 year-olds and apprentices. If your hourly rate on your payslip doesn't match these, or hasn't been updated since April, that's worth raising with your employer immediately.

From 6 April 2026, Statutory Sick Pay increased to £123.25 a week and — significantly — became payable from day one of any absence, with the Lower Earnings Limit removed. Previously, SSP only kicked in after three "waiting days," and very low earners weren't eligible at all. If you've been off sick since April and your payslip shows no SSP for the first few days, or shows nothing at all because of low earnings, ask your payroll team to review it.

New employees also now get Paternity Leave and Unpaid Parental Leave rights from their very first day in a job, removing the qualifying period that previously applied.

From 6 April 2026, sexual harassment disclosures became a protected "qualifying disclosure" under whistleblowing law, giving employees who report harassment the same legal protection from dismissal or detriment as other whistleblowers.

What's coming next

From October 2026, the time limit to bring an employment tribunal claim extends to six months, up from the current three months for most claims — giving employees longer to act if something goes wrong. Further reforms land in 2027, including a reduced qualifying period for unfair dismissal claims (down to six months) and tighter restrictions on "fire and rehire" practices.

Checklist: reading your payslip after the changes

1. Check your hourly rate matches the correct 2026 minimum wage band for your age
2. If you've been off sick, check SSP is being paid from day one, not after a waiting period, and check the £123.25 weekly rate is applied correctly
3. If you're new to a job and became a parent, confirm you weren't denied Paternity or Parental Leave on the basis of a qualifying period — this no longer applies
4. Check deductions line by line — tax, National Insurance, pension, and any other deductions should each be itemised and explained
5. Keep payslips for at least three years in case you need evidence for a tribunal claim or tax query
6. If something looks wrong, raise it with payroll or HR first, and if unresolved, contact Acas for free advice before considering a tribunal claim

International comparison

The US has no federal statutory sick pay requirement at all — paid sick leave depends entirely on state law or employer policy, making the UK's day-one SSP entitlement more generous by comparison, though the UK's £123.25 weekly rate is modest next to full salary continuation schemes some US employers offer voluntarily. Australia mandates 10 days of paid personal/carer's leave per year for most employees under the National Employment Standards, a different model built around annual leave banks rather than a flat weekly sick pay rate.

Key Numbers

• £12.71 — National Living Wage per hour for workers 21+, from April 2026
• £123.25 — weekly Statutory Sick Pay rate, payable from day one of absence
• 6 months — new employment tribunal claim time limit from October 2026, up from 3 months

Sources

• Pinsent Masons: Employment Rights Act — implementation for UK employers 2026 and beyond
• ATT: UK Employment Rights Bill changes effective 6 April 2026
• Acas: Employment Rights Act 2025
• TUC: Your guide to new Employment Rights 2026

Educational content only — not financial advice.