April tends to bring routine increases to statutory rates. April 2026 is different.
Alongside the usual uplifts, there are changes to entitlement that will directly affect how employers manage absence, cost and risk.
For HR teams, payroll and leadership, this is not just a numbers update. It is a compliance and operational point that needs proper attention.
The key changes are as follows:
From 1 April 2026, the National Living Wage for workers aged 21 and over increases to £12.71 per hour. The rate for 18 to 20-year-olds rises to £10.85, with under-18 and apprentice rates increasing to £8.00.
From 5 April 2026, the standard weekly rate for statutory maternity pay, adoption pay, paternity pay, shared parental pay, parental bereavement pay and neonatal care pay increases to £194.32 per week, or 90% of average weekly earnings if lower. The first six weeks of maternity and adoption pay remain at 90% of average weekly earnings.
From 6 April 2026, Statutory Sick Pay increases to £123.25 per week. However, the more significant change is structural. SSP becomes payable from the first day of sickness absence, removing the previous waiting days. In addition, eligibility is widened by removing the lower earnings threshold.
This is the change most likely to have a practical impact. It will affect absence costs, payroll processes and how managers respond to short-term sickness.
There is also the annual uplift to tribunal-related limits. The cap on a week’s pay for statutory redundancy and basic award calculations increases to £751. The maximum compensatory award for unfair dismissal increases to £123,543, and the limit on a day’s statutory guarantee pay rises to £41.
While these increases may appear incremental, they directly affect termination costs, risk assessments and settlement positioning.
In practical terms, employers should focus on four areas now.
- Ensure payroll systems are updated correctly. The changes do not all take effect on the same date, and errors here are easily made.
- Review policies and documentation. Many sickness and family leave policies still refer to outdated figures or pre-existing SSP rules. Those need to be brought up to date.
- Revisit template correspondence. Redundancy calculations, dismissal letters and settlement discussions should reflect the new statutory limits.
- Brief managers. Changes to SSP eligibility and timing are only effective if they are understood and applied consistently in practice.
April 2026 is not simply an annual adjustment. It reflects a broader shift towards increased employee protection and entitlement.
The employers who deal with this well will be those who treat it as more than a payroll update and take the opportunity to tighten their processes at the same time.
