The Government has already increased Statutory Sick Pay this year as part of the annual uprating exercise in April 2023. This was in line with the Consumer Price Index (CPI) which has been the default inflation measure for the Government’s statutory annual review of benefits since 2011.

The Secretary of State is required by law to undertake a review of benefits and pensions annually. This review will commence shortly and the outcome will be announced in the Autumn in the usual way.

Statutory Sick Pay (SSP) provides a measure of earnings replacement to employees when they are sick or incapable of work. Employers are required to pay it at the legal minimum rate for up to 28 weeks per period of absence. Many employers decide to pay more, and for longer, through Occupational Sick Pay.

If an individual who is suffering from a long-term health condition requires further financial support while off work sick, for example, where their income is reduced while on Statutory Sick Pay, they may be able to claim Universal Credit depending on their personal circumstances. Where they are not eligible, for example, because they earn below the Lower Earnings Limit, they may also be able to claim New Style Employment and Support Allowance.

Health is Everyone’s Business (2019) consulted on a broad package of measures related to the work and health agenda. This included some proposals related to Statutory Sick Pay (SSP) such as making it more flexible to support phased returns to work.

In the response to the consultation (2021), the Government stated this was not the right time to introduce changes to the sick pay system, but that we are continuing to keep the SSP system under review.

Statutory Sick Pay (SSP) is the minimum that employers must pay to eligible individuals during a period of sickness absence. Many employers decide to pay more, and for longer, through Occupational Sick Pay.

Eligibility to SSP is based upon an individual’s earnings from employment, rather than the number of hours they work. SSP is paid from the fourth qualifying day (days an employee usually works) of work missed. The first three qualifying days in a period of absence are known as waiting days. To be eligible to receive SSP, an individual must have been incapable of work for at least four days in a row, including non-working days.

The Government is continuing to keep the SSP system under review.

In the Health is Everyone’s Business consultation, the Government set out proposals for limited reforms to Statutory Sick Pay (SSP), including consideration of the role qualifying days have.

In response to the consultation (2021), the Government maintained that SSP provides an important link between the employee and employer but that this was not the right time to introduce changes to the sick pay system. The Government is continuing to keep the SSP system under review.