UK Sick Pay: Eligibility Now From Day One

The United Kingdom has changed its statutory sick pay rules , with new provisions taking effect on Monday that officials and labour representatives say could affect up to 9.6 million workers.

Under the updated regulations, around 8.4 million workers who previously depended on statutory sick pay will now be paid from the first day they are ill. Before the change, statutory sick pay began only after a three-day waiting period.

The reforms also widen access for lower earners. About 1.2 million workers who earn below the previous £125-a-week threshold will become eligible for statutory sick pay for the first time, according to the figures cited in the policy description.

These measures form part of the initial phase of the Employment Rights Act 2025. The Trades Union Congress (TUC) said the changes are intended to reduce financial strain on lower-income households by ensuring support starts immediately when illness prevents work.

The TUC said the policy is expected to have a notable distributional effect because women, disabled employees, and younger and older workers are more likely to be concentrated in lower-paid and part-time jobs. In the TUC’s account, those groups are therefore more exposed to income disruption when sick pay is delayed or unavailable.

Public sentiment, as presented by the TUC, appears supportive. The union body said 76% of the public backs the changes, framing the reform as a shift that strengthens basic workplace protections for people on lower wages.

Some employers, however, have raised concerns about cost and timing. Business representatives said the revised sick pay rules arrive alongside other legislative changes and broader economic pressures, which they argue could add to operating costs.

Neil Carberry of the Recruitment and Employment Confederation warned that the combined impact could weigh on business balance sheets. He said this could translate into difficult decisions, including staff reductions and price increases, as firms attempt to manage higher costs.

What remains uncertain is how quickly the new rules will feed through into employer hiring and pricing decisions, and how evenly any cost pressures will be felt across sectors. The policy’s practical impact will also depend on how employers implement the new eligibility and day-one payment requirements in day-to-day payroll processes.