Statutory Sick Pay Reform: Day‑One Eligibility & Removal of the Lower Earnings Limit from 6 April 2026

From 6 April 2026, Statutory Sick Pay (SSP) will undergo one of its most significant reforms in decades. Employees will now qualify for SSP from the first full day of sickness, ending the long‑criticised three‑day waiting period.

Equally important is the removal of the Lower Earnings Limit (LEL). Under the old rules, only employees earning at least £125 per week qualified for SSP. From April 2026, all employees, regardless of earnings, will be eligible, extending statutory protection to over a million low‑paid workers.

SSP will also be calculated differently. From 6 April 2026, employers will pay either the statutory flat rate of £123.25 per week or 80% of an employee’s average weekly earnings, whichever is lower. This ensures low earners are covered without pushing costs disproportionately onto their employers.

What this means for Employers

The shift to day‑one entitlement means SSP costs will arise for even short absences, making accurate absence tracking more essential. The expanded eligibility pool means employers will have more staff qualifying for SSP, especially casual, variable‑hours, and low‑income workers. Payroll teams will need to apply percentage‑based calculations for workers previously outside the scheme.

Some vital practical steps for Employers to take in order to be properly prepared for these changes would be to:

1. Update sickness policies to reflect day‑one entitlement and the removal of the LEL;
2. Review payroll systems, ensuring they can calculate 80% earnings‑based SSP for lower earners; and
3. Clearly communicate the changes to all staff so that expectations are clear before 6 April 2026.

These reforms aim to make SSP fairer and more accessible, supporting employee wellbeing while giving employers clearer, more consistent rules to work with. Further details about the changes can be found here.

Notes to Editors

Rahman Lowe Solicitors is a specialist employment law firm. For further information or to discuss a potential claim, please contact us on 020 3950 5234 or info@rllaw.co.uk.

31 March 2026