Leave policy in the United Kingdom

The leave policy in the United Kingdom is designed to protect workers’ rights while supporting work-life balance. Leave entitlements in the United Kingdom are overseen by government legislation, typically through the Employment Rights Act and subsequent amendments. 

Employers of small businesses or large corporations across the UK must navigate these legal requirements. As per leave laws in the United Kingdom, there are statutory minimums for different kinds of leave, including annual holiday entitlement, sick leave, maternity and paternity leave, with provisions for emergencies. 

It is important to understand the leave policy in the United Kingdom for both employers and employees. 

Employers can stay compliant and minimize administrative risks, while employees get to know about their entitlements in the workplace. 

Vacation/annual leave in the United Kingdom

All employees, classed as workers who work a 5-day week, must receive at least 28 days of paid annual leave in the United Kingdom every year (equivalent to 5.6 weeks of holiday). An employer can include bank holidays in statutory annual leave. 

Public holidays in the United Kingdom

There are 8 public holidays in the United Kingdom. These holidays are often referred to as bank holidays. 

Most institutions and businesses remain closed on these days. If you are planning vacations or leaves in the United Kingdom, you can refer to the holiday calendar the United Kingdom follows. 

Here is a list of the public holidays in the country.

Bank Holiday

• New Year’s Day
• Good Friday
• Easter Monday
• Early May bank holiday
• Spring bank holiday
• Summer bank holiday
• Christmas Day
• Boxing Day (substitute day)

Sick leave in the United Kingdom

Employees can take sick leave in the United Kingdom when they are ill. Employees have to provide a ‘fit note’ to their employer if they have been ill for more than 7 days in a row and have taken sick leave. This will include non-working days, such as bank holidays and weekends. 

A fit note states an employee is either ‘not fit’ or ‘may be fit’ for work. If it says ‘may be fit,’ the employer should discuss possible adjustments (like reduced hours, different duties); but if no agreement is reached, the employee must be treated as not fit. Employers can copy the note; the employee keeps the original.

Statutory sick pay

Statutory holiday entitlement is accrued while an employee is sick and off work. Employees are entitled to get £118.75 per week Statutory Sick Pay (SSP) if they are too ill to work. Employers will pay this for up to 28 weeks. Employees will not get less than the statutory amount. They can get more if the company has a sick pay scheme in the employment contract. 

Any statutory leave in the United Kingdom that is not used due to illness can be carried over to the next leave year. 

Certification requirements

Self-certification (Days 1–5): If you are unwell and need to take up to 5 consecutive days off, you can self-certify your absence without providing a medical certificate. That said, you are still expected to notify your line manager and follow the standard reporting process. In line with statutory provisions, these days are unpaid.

Doctor’s note (6 Days or More): If your illness extends beyond 5 consecutive days, you will need to obtain a fit note from your GP or a medical professional. This is required to determine your eligibility for Statutory Sick Pay (SSP), currently set at £118.75 per week, subject to statutory conditions.

Unauthorized or repeated absence: Unauthorized absences or recurring patterns of short-term sickness will be reviewed and may result in disciplinary action.

Maternity leave in the United Kingdom

Statutory maternity leave in the United Kingdom is 52 weeks. It is divided as:

• Ordinary maternity leave – first 26 weeks
• Additional maternity leave – last 26 weeks

Female employees don’t need to take 52 weeks off, but they have to take 2 weeks’ leave after delivery. If an employee works in a factory, the time is 4 weeks. 

Maternity pay in the United Kingdom

Statutory Maternity Pay (SMP) is paid for up to 39 weeks. Female employees get:

• 90% of the average weekly earnings for the first 6 weeks (before tax)
• £156.66 or 90% of average weekly earnings (whichever is lower) for the remaining 33 weeks

SMP usually starts when a female employee takes maternity leave. Tax and National Insurance are deducted from SMP. 

Paternity leave in the United Kingdom

Paternity leave in the United Kingdom is for 1 or 2 weeks. If an employee decides to take paternity leave for 2 weeks, they can take the leave together or separately. The same amount of leave remains applicable if the employee has more than one child (twins). 

A week of leave is the same number of days that an employee works in a week. For instance, if an employee works on Wednesday and Friday, then a week of leave is 2 days. 

Paternity leave cannot start before the birth of the child, and it must end within 56 days of the birth. 

Paternity pay in the United Kingdom

The statutory weekly rate of paternity pay in the United Kingdom is £156.66 or 90% of the employee’s average weekly earnings (whichever is lower). 

Other types of leaves in the United Kingdom

Apart from paid time off in the United Kingdom and the above-mentioned leaves, the country also offers other types of leave. Some of them are as follows:

Adoption pay and leave 

When an employee takes time off to adopt a child or have a child through surrogacy, they are eligible for statutory adoption leave and statutory adoption pay. 

Statutory adoption leave is 52 weeks. There are 26 weeks of Ordinary Adoption Leave and 26 weeks of Additional Adoption Leave. Only one person in the couple can take adoption leave.

Statutory Adoption Pay is paid for up to 39 weeks. It starts when the employee takes the adoption leave. 

Statutory parental bereavement pay and leave

An employee and their partner can take time off if their child dies before they turn 18. This is also applicable if the employee has a stillbirth after 24 weeks of pregnancy. Employees are entitled to leave, pay, or both. 

The employee is entitled to 2 weeks of pay.

Explore Payoneer Workforce Management in the United Kingdom

Understanding leave laws and leave policy in the United Kingdom initially is quite a challenge for international employers. 

With Payoneer Workforce Management, global teams in the United Kingdom get seamless payroll, full statutory compliance, risk mitigation, and leave tracking. The EOR has thorough and updated knowledge of the leave laws in the United Kingdom, along with statutory leave entitlements in the country. 

Learn more about an Employer of Record in the United Kingdom or speak to the Payoneer Workforce Management team to get started.

FAQs

1. Can employers include bank holidays in the annual leave allowance in the United Kingdom?

Yes, employers can include the 8 UK bank holidays, also known as public holidays, within the statutory 28-day minimum entitlement. Many employers offer additional leave days along with the statutory minimum as part of the benefits package. 

2. Are fathers entitled to paternity leave in the United Kingdom?

As per leave laws in the United Kingdom, fathers are entitled to paternity leave in the country. They can take leave for 1 or 2 weeks. The statutory weekly rate of paternity pay in the United Kingdom is £ 156.66 or 90% of the employee’s average weekly earnings (whichever is lower). 

3. Can employees carry over unused annual leave in the United Kingdom?

Yes, employees can carry over the unused annual leave in the United Kingdom only with the employer’s agreement, unless the contract states otherwise.