SSP From Day One: What UK Employers Need to Know in 2026

From 6 April 2026, the rules on Statutory Sick Pay changed fundamentally. Your employees can now receive SSP from their very first day of sickness absence. The three-day waiting period is gone. The lower earnings threshold is gone. More of your workforce is now entitled to SSP than ever before.

If you have not updated your absence policy, your payroll process, or your written sick pay procedure, you are already behind. This guide tells you exactly what changed, who is now eligible, how to calculate the new SSP correctly, and the mistakes other employers are already making.

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What Changed on 6 April 2026

The Employment Rights Act 2025 made two significant changes to Statutory Sick Pay:

1. SSP is now paid from the first full day of sickness absence. Previously, employees had to wait three qualifying days before SSP kicked in. Those three days were unpaid unless your contract said otherwise. That waiting period has been abolished.

2. The lower earnings limit has been removed. Previously, workers needed to earn at least £125 per week on average to qualify for SSP. That threshold no longer applies. Workers can earn any amount and still be entitled to SSP, as long as they meet the other eligibility criteria.

Both changes apply to sickness absences that start on or after 6 April 2026.

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Who Is Now Eligible for SSP

To qualify for SSP, a worker must still meet all of the following criteria:

• They have done some work for you. They do not need to have been employed for a minimum period, but they must have done at least some work.
• They are off sick for at least four calendar days in a row. This includes non-working days such as weekends.
• They have told you they are sick within any deadline you have set, or within seven days if you have not set a deadline.
• They are classed as employed for tax purposes. This means anyone paid through PAYE, including employees and agency workers. It does not include self-employed people or those who pay their own tax via self-assessment.

The big change: the earnings threshold no longer applies. Previously, if a worker earned less than £125 per week, they received nothing during sick leave. From 6 April 2026, every worker who meets the four criteria above is entitled to SSP regardless of how much they earn.

This particularly affects part-time workers, workers on low hours, and those on zero-hours contracts who happen to be classified as employees for PAYE purposes.

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The New SSP Rate and How to Calculate It

Before 6 April 2026, SSP was a flat rate of £118.75 per week, paid from day four of absence.

From 6 April 2026, SSP is paid at whichever of the following is lower:

• 80% of the worker's average weekly earnings, or
• £123.25 per week (the new flat cap)

This means SSP is now earnings-linked for lower earners and capped for higher earners. Here is how it plays out in practice.

How to Calculate Average Weekly Earnings

Average weekly earnings are calculated based on the eight weeks before the sickness absence starts. Round up payments to the nearest penny.

Real Example Calculation

Scenario 1: A part-time retail worker earning £200 per week

• 80% of £200 = £160 per week
• Cap is £123.25 per week
• SSP payable: £123.25 per week (because 80% of earnings exceeds the cap)

Scenario 2: A warehouse operative earning £100 per week

• 80% of £100 = £80 per week
• Cap is £123.25 per week
• SSP payable: £80 per week (because 80% of earnings is lower than the cap)

Under the old rules, the second worker would have received nothing because they earned below the old £125 lower earnings limit. Under the new rules, they receive £80 per week from day one.

Scenario 3: A full-time employee earning £600 per week

• 80% of £600 = £480 per week
• Cap is £123.25 per week
• SSP payable: £123.25 per week (because 80% of earnings far exceeds the cap)

This is the same amount a higher earner would have received under the old flat-rate system, but now it starts from day one instead of day four.

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What About Sickness That Started Before 6 April 2026?

If an employee was already off sick before 6 April 2026 and their absence continues beyond that date, there are transitional rules.

Key rule: An eligible worker will be entitled to SSP from 6 April 2026 if 6 April is a qualifying day for them (a day they would normally work). This applies even if they had not yet completed the three waiting days by that date.

Transitional protection against a pay reduction: Some workers fall into a category where the new 80% calculation would actually give them less than the old flat rate. Specifically, this applies to workers who:

• Earn between £125 and £154.05 per week, and
• Were already receiving SSP before 6 April 2026

These workers are protected: they continue to receive the flat rate of £123.25 per week rather than having their SSP reduced to 80% of their earnings. This protection continues until they return to work, receive SSP for 28 weeks, their employment ends, or they start receiving statutory maternity pay.

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What to Update in Your Absence Policy

If your absence policy still refers to the three-day waiting period, update it now. Here is a practical checklist:

Remove these references from your policy:

• Any mention of "waiting days" or "qualifying days for SSP purposes starting on day four"
• Any statement that sick pay is only payable after three days of absence
• Any reference to the lower earnings limit of £125 per week

Add or update these sections:

• State clearly that SSP is paid from the first full day of sickness absence
• Update the SSP rate to reflect the new earnings-linked calculation
• Confirm the new SSP rate: the lower of 80% of average weekly earnings or £123.25 per week
• Update your records of who qualifies, including lower-earning and part-time staff

Payroll system update: Make sure your payroll software or provider applies SSP from day one and uses the new earnings-linked rate. Do not assume your provider has updated this automatically. Check with them directly.

Employee communications: If you send a standard letter or email to employees at the start of sick leave, update it to confirm the new entitlement.

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Linked Periods of Sickness

The rules on linked periods of sickness still apply. Two periods of sickness are "linked" if:

• Each period lasts four or more days, and
• They are eight weeks or less apart

When periods are linked, the average weekly earnings from the first period are used to calculate SSP for all linked periods. This prevents a worker from having their SSP recalculated in a way that disadvantages them when they return to work and fall sick again shortly afterwards.

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Fit Notes: What You Can Still Require

The fit note rules have not changed. You can still request a fit note if:

• The employee has been off sick for more than seven calendar days, or
• You ask for one

You cannot request a fit note for absences of seven calendar days or fewer. Be aware that in practice, getting a same-day GP appointment can be difficult. ACAS recommends being reasonable if there is a delay.

For absences up to seven days, employees can self-certify their sickness using a self-certification form (SC2).

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Common Mistakes Employers Are Making Right Now

Mistake 1: Still applying the three-day wait Some employers with older HR software or manual payroll processes are still withholding SSP for the first three days. This is now unlawful for any sickness absence starting on or after 6 April 2026.

Mistake 2: Assuming low earners are not eligible The lower earnings limit has gone. If your contract or employment handbook states that SSP is only available to employees earning above a certain threshold, that clause may now be unenforceable. Remove it.

Mistake 3: Not updating template absence letters If you auto-generate a sick leave acknowledgment letter that references when SSP starts, check it. A letter that tells a worker SSP starts on day four is inaccurate and potentially exposes you to an HMRC dispute.

Mistake 4: Confusing SSP with contractual sick pay SSP is the legal minimum. If your contract offers enhanced sick pay (for example, full pay for the first two weeks), your contractual terms still apply. SSP is a floor, not a ceiling. But if you have a contractual sick pay scheme, check whether it references the old SSP rules. If it refers to "after the SSP waiting period," it may need updating.

Mistake 5: Forgetting the SSP1 form obligation If a worker is not eligible for SSP, you must tell them in writing using an SSP1 form, or a letter or email. You cannot simply tell them verbally. This obligation has not changed, but with more workers now eligible, you may issue fewer SSP1 forms than before.

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What to Do Now: A Short Action List

1. Update your absence policy to remove any reference to the three-day waiting period.
2. Update your payroll system or brief your payroll provider on the new earnings-linked SSP calculation.
3. Check which employees who were previously ineligible are now entitled to SSP, particularly low-earning and part-time staff.
4. Update any template letters or emails you use to acknowledge sickness absence.
5. Remove any contractual clauses that refer to the old SSP threshold or waiting days.
6. Train any line managers who deal with absence notifications on the new rules.

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Frequently Asked Questions

Q: Does SSP from day one apply to all employees, including those who just started?

Yes, as long as the employee meets the eligibility criteria: they have done some work, they have been off sick for at least four days in a row, and they are employed for tax purposes. There is no minimum length of employment required for SSP.

Q: What if my employee earns less than £123.25 per week? Do I pay less than the cap?

Yes. SSP is now paid at whichever is lower: 80% of average weekly earnings or £123.25 per week. If a worker earns £80 per week, their SSP is £64 (80% of £80), not £123.25.

Q: If I already offer contractual sick pay that is more generous than SSP, do I need to change anything?

Not necessarily, but review your contract or handbook to make sure it does not reference outdated SSP rules such as the waiting period or the earnings threshold. Your contractual terms still take precedence over SSP where they are more generous.

Q: Can I still ask for a fit note from day one?

No. You can only request a fit note for absences of more than seven calendar days. For shorter absences, the employee can self-certify. Requesting a fit note for a shorter absence is not prohibited but is not good practice.

Q: What happens if an employee is sick for fewer than four days? Does the day-one rule still apply?

The four-day rule still applies for SSP eligibility. An employee must be off sick for at least four calendar days in a row before SSP is triggered. The change is that once that threshold is met, SSP is paid from the first qualifying day, not the fourth.

Q: Has HMRC changed the way employers reclaim SSP?

Most employers cannot reclaim SSP from HMRC. Reclaim was removed for most businesses in 2014. Only small employers meeting specific criteria during certain circumstances (such as COVID-19 schemes, which have now ended) could reclaim. Check GOV.UK for the latest position on reclaims if you believe you may qualify.

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Get Your Policies Checked

Get your employment contracts and policies checked against the new rules. EmployerKit Audit from £49.

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Last updated: April 2026