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Statutory Rates

This page features the latest rates for statutory payments from April 2021. The new rates and thresholds apply when an employer operates payroll or provides expenses and benefits to employees.

The changes have been made to the following:

  • Statutory sick pay
  • Redundancy pay
  • Family-friendly payments
  • Minimum auto-enrolment contributions
  • National minimum wage
  • Voluntary living wage
  • Tribunal compensation limits

For more information on how these apply to your business, please get in touch with one of our Employment Lawyers or HR Consultants today.

Statutory Sick Pay from 6 April 2021

Statutory Sick Pay (SSP) – £96.35             

Lower earnings limit (per week) – £120  

Redundancy Pay from 6 April 2021

Maximum Statutory Redundancy Pay- £16,320

Weekly Pay Cap – £544

Family-Friendly Payments from 4 April 2021

Statutory Shared Parental Pay (ShPP) – £151.97   

Statutory Maternity Pay (SMP) – £151.97 

Statutory Adoption Pay (SAP) – £151.97       

Statutory Paternity Pay (SPP) – £151.97

Lower earnings limit (per week) – £120       

National Minimum Wage per hour from 1 April 2021

Workers aged 23 and over (National Living Wage) – £8.91

Workers aged 21-22 – £8.36

Development rates for workers aged 18-20 – £6.56

Young workers rate for workers aged 16-17 – £4.62

Apprentices under 19, or over 19 and in first year of apprenticeship – £4.30

Voluntary Living Wage 2020/21 – Reviewed Annually in November

London Living Wage – £10.85                

UK Living Wage – £9.50

Minimum Auto-Enrolment Contributions from 6 April 2021

Minimum total pension contribution – 8%

Minimum employer contribution – 3%

Minimum employee contribution – 5%

Compensation Limits from 6 April 2021

Limit on guarantee payments – £30 daily | £150 per three months

Weekly pay limit for calculating unfair dismissal basic award – £544 (weekly)

Maximum unfair dismissal basic award – £16,320 

Maximum compensation for unfair dismissal – Capped at £89,493, or one years’ pay if less than that

Minimum basic award for dismissal on trade union, health and safety, occupational pension scheme trustee, employee representative and on working time grounds only – £6,634    

Failure to reinstate or re-engage: 26 to 52 weeks’ pay (£544 weekly cap) – £14,144 to £28,288

Breach of right to be accompanied: up to 2 weeks’ pay (£544 weekly cap) – Up to £1,088

Breach of flexible working regulations: up to 8 weeks’ pay (£544 weekly cap) – Up to £4,352

Failure to give written particulars of employment: 2 or 4 weeks’ pay (£544 weekly cap) – 2 weeks = £1,088, or 4 weeks = £2,176

Payment for breach of contract claim (e.g. wrongful dismissal) brought in an Employment Tribunal capped at £25,000. If the claim is for more than £25,000, it can be made in the County Court or High Court – £25,000