With effect from 6 April 2026, there will be an increase in compensation limits for certain tribunal awards and other statutory payments.
In cases involving unfair dismissal, the new figures will apply where the effective date of termination falls on or after 6 April 2026. The increases are based on the September 2025 retail prices index (RPI) which increased by 4.5% on the previous year. The following revised figures are included in the changes:
| • | The limit on a week’s pay increases from £719 to £751. |
| • | The maximum compensatory award for unfair dismissal increases from £118,223 to £123,543. |
| • | The minimum basic award for certain unfair dismissals (including health and safety dismissals) increases from £8,763 to £9,157. |
There will also be increase to the following statutory payments:
| • | Statutory maternity pay will increase from £187.18 to £194.32 on 5 April 2026. |
| • | Maternity allowance will increase from £187.18 to £194.32 on 6 April 2026. |
| • | Statutory paternity, adoption, shared parental, parental bereavement and neonatal care pay will increase from £187.18 to £194.32 on 6 April 2026. |
| • | Statutory sick pay will increase from £118.75 to £123.25 on 6 April 2026. |
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