Statutory Sick Pay (SSP) is the minimum amount employers must pay employees who are too ill to work. It is funded entirely by the employer — there is no government reimbursement (except in limited pandemic-related circumstances). The Employment Rights Act 2025 overhauled SSP from 6 April 2026: it is now payable from the first day of absence and the lower earnings limit has been removed.
Eligibility
To qualify for SSP, an employee must:
- Be classed as an employee (not self-employed)
- Have done some work under their contract
- Notify the employer within any deadline set (or within 7 days if no deadline exists)
Before 6 April 2026, employees also had to earn at or above the Lower Earnings Limit — that threshold has been abolished, so all employees now qualify regardless of how little they earn.
How It Works
- Paid from day one: SSP is payable from the first day of sickness absence — the three unpaid "waiting days" were abolished on 6 April 2026
- Qualifying days: SSP is paid for the days the employee would normally work
- Duration: Up to 28 weeks in a single period of incapacity for work
- Rate: £123.25 per week (2026/27), or 80% of the employee's average weekly earnings, whichever is lower
- Tax and NI: SSP is subject to income tax and National Insurance contributions
What the 2026 Changes Mean for Employers
Short absences now cost more: a single day off sick attracts SSP where previously the first three days were unpaid. Employers with frequent short-term absence should review their absence management processes and trigger points, and make sure payroll is applying the day-one rule — paying late is now a compliance breach that the new Fair Work Agency can enforce.
Evidence of Sickness
- Days 1-7: The employee can self-certify (no doctor's note needed)
- Day 8 onwards: The employer can require a fit note (Statement of Fitness for Work) from a doctor
Contractual Sick Pay
Many employers offer contractual (enhanced) sick pay above the SSP rate. This is a matter for the employment contract — there is no legal obligation to offer it, but it can be important for attracting and retaining staff. Contractual sick pay usually includes SSP within it (not on top of it).
When SSP Ends
SSP ends after 28 weeks, when the employee returns to work, or when the contract ends. If the employee is still sick after 28 weeks, they may be eligible for Employment and Support Allowance (ESA) or Universal Credit. The employer must issue an SSP1 form to help the employee claim state benefits.
Effective absence management goes beyond SSP. Our absence management service provides end-to-end support. Talk to us.