The government recently published details of the proposed new statutory rates for maternity pay, paternity pay, shared parental pay, adoption pay and sick pay which will apply from April 2018.
Statutory maternity pay is due to rise from £140.98 to £145.18 per week from 1 April 2018 (although SMP remains at 90% of the employee’s average weekly earnings if this figure is less than the statutory rate).
This change will also be reflected in the rates of statutory paternity pay, shared parental pay, and statutory adoption pay, which will increase from £140.98 to £145.18 per week with effect from 1 April 2018 (again, the applicable rate will be 90% of the employee’s average weekly earnings if this figure is less than the statutory rate).
The weekly rate of statutory sick pay (“SSP”) is also due to increase from £89.35 to £92.05 with effect from 6 April 2018, provided – of course – that the employee’s average weekly earnings are equal to or in excess of the lower earnings limit which is currently set at £113 but due to increasing to £116 in April 2018.
Many employers are likely to be affected by these changes and are advised to plan ahead to avoid getting caught. Full details of the revised rates can be found here https://www.gov.uk/government/publications/proposed-benefit-and-pension-rates-2018-to-2019.
Expert assistance should always be sought when dealing with these issues and the team of solicitors here at DPH Legal will always be happy to help.
The content on this page is for general awareness only. It is not intended to constitute professional or legal advice. Changes to legislation may have happened since this article was published. The contents of this article should not be used as a basis for action and the reader should be advised to seek the appropriate professional advice based on their individual circumstances.