Below is our annual update on the changes to statutory rates which came into effect from 1st April 2022.
||New Rate from 1 April 2022
|| Old Rate
|National Living Wage
|21-22 Year Old Rate
|18-20 Year Old Rate
|16-17 Year Old Rate
|Apprentice Rate (*)
(*) – The apprentice rate is for apprentices aged 16 to 18 and those aged 19 or over who are in their first year. All other apprentices are entitled to the National Minimum Wage applicable to their age.
Statutory Family-Related Pay – The weekly rate of statutory maternity, paternity, adoption and shared parental pay increased on 6 April 2022 to £156.66 (up from £151.97).
Statutory Sick Pay –the weekly rate of statutory sick pay increased on 6 April 2022 to £99.35 (up from £96.35).
Statutory Redundancy Pay – weekly pay for the purpose of redundancy pay calculations will now be capped at £571, increasing from £544.
Tribunal Awards – The maximum possible statutory award for redundancy will increase to £17,130 (up from £16,320). The maximum compensatory award for ordinary unfair dismissal will increase to the lesser of 1 year’s pay or £93,878 (up from £89,493).
Please update your payroll systems to take account of the new rates and avoid potential penalties or public naming and shaming by HMRC!
Our team is here to help, for more information or to get advice, contact us and speak to an expert.
Tel: 01245 893400
Visit: 17 Duke Street, Chelmsford, CM1 1JU
Or send us a message through the Contact Us page on this website.