Changes for Employees/Employers Legislation 2026/27

🧾 Statutory Sick Pay (SSP) Reform

What’s changing:

• SSP becomes a “day-one” entitlement (no more 4-day waiting period).
• The minimum earnings threshold is removed.
• Payment = 80% of earnings OR £123.25/week (whichever is lower).

🏠 Home Working Tax Relief

What’s changing:

• The £6/week flat-rate tax relief is abolished.
• Relief is only available if employers reimburse costs directly.

🎓 Student Loans – Plan 5

What’s changing:

• New “Plan 5” applies to those starting courses after 1 August 2023.
• Repayment threshold: £25,000

👶 Paternity & Bereavement Pay

What’s changing:

• These become “day-one” rights.
• No minimum service requirement with the employer.