Statutory Sick Pay (SSP): What Every UK Employee and Employer Needs to Know

What Is Statutory Sick Pay?

Statutory Sick Pay (SSP) is a legal minimum payment your employer must make when you cannot work due to illness. It exists to protect workers from losing all income during a period of genuine sickness. Many employees are unsure whether they qualify or how much they should actually receive.

This guide covers eligibility, current rates, how to calculate your daily entitlement, the role of the sick note, and the significant rule changes that came into force in April 2026.

If you run a small business and manage payroll yourself, this is also essential reading. SSP compliance sits within your wider payroll obligations, covered in detail on our payroll services page.

Who Qualifies for Statutory Sick Pay?

Not every worker automatically receives SSP. HMRC sets out specific conditions that must be met before entitlement begins.

You are eligible for SSP if:

• You are classed as an employee (paid through PAYE)
• You have started work for your employer
• You are too ill to work
• You notify your employer within their stated deadline, or within 7 days if no deadline is set

One important change from 6 April 2026:
Statutory Sick Pay (SSP) rules are changing significantly. SSP will become available to eligible employees regardless of their earnings level, meaning employees who previously did not qualify because they earned below the lower earnings limit may now be entitled to SSP. In addition, SSP will be payable from the first full day of sickness absence and will be paid at 80% of an employee’s average weekly earnings or the weekly flat rate of £123.25, whichever is lower.

(Source: Sickness absences that start before and end on or after 6 April 2026)

This change, introduced under the Employment Rights Act 2025, extends statutory sick pay to an estimated 1.3 million additional low-paid workers who were previously excluded entirely.

Who does not qualify:

• Self-employed people (they pay their own tax via Self Assessment, not PAYE)
• Agency workers in certain arrangements
• Anyone who has already received SSP for 28 weeks in a linked period of sickness

If you are self-employed, SSP does not apply to you. Income protection insurance or Employment and Support Allowance are the main alternatives available.

The End of Waiting Days: SSP Now Paid From Day One

Before 6 April 2026, employees had to wait three unpaid days before SSP kicked in. These were called “waiting days”. If you were off sick for three days or fewer, you received nothing.

That rule has been abolished.

From 6 April 2026, SSP is payable from the first full day of sickness absence. Even a single day of illness now triggers entitlement, provided the other eligibility criteria are met.

For employees, this means earlier financial protection. For employers, it means more frequent SSP payments, including for short-term absences that previously fell entirely within the waiting period.

(Source: Sickness absences that start before and end on or after 6 April 2026)

How Much Is Statutory Sick Pay Per Week?

The current SSP rate from 6 April 2026 is £123.25 per week, or 80% of your average weekly earnings whichever is lower.

This dual-rate structure is new. Previously, SSP was a flat rate paid to anyone who earned above the Lower Earnings Limit. Now it works proportionately. Here are two worked examples:

Employee A earns enough that the flat rate of £123.25 applies. Employee B earns less, so they receive 80% of their earnings instead.

Average weekly earnings are calculated over the eight weeks before the sickness absence began. This includes normal wages, overtime, holiday pay, and any other regular earnings.

(Source: Statutory Sick Pay (SSP): employer guide)

How Much Is Statutory Sick Pay Per Day?

SSP is a weekly figure, but it is paid for qualifying days only. Qualifying days are the days you are normally contracted to work.

To calculate how much statutory sick pay per day you receive, divide the weekly rate by the number of qualifying days in that week.

Standard formula:

Daily SSP = Weekly SSP ÷ Number of qualifying days in the week

Example: You work Monday to Friday (5 days). Your weekly SSP is £123.25. Your daily rate is £123.25 ÷ 5 = £24.65 per day.

For a 4-day working week: £123.25 ÷ 4 = £30.81 per day.

If you are a shift worker or have irregular hours, your employer must agree with you which days count as qualifying days. HMRC guidance confirms that at least one qualifying day must exist within each week of absence.

The Sick Note: When Do You Need One?

A sick note (formally called a “fit note“) is a statement from a registered healthcare professional confirming that illness prevents you from working. It may also recommend a phased return or adjustments to your role.

The rules on when a sick note is required:

• For absences of 7 calendar days or fewer, your employer can ask you to complete a self-certification form. No GP visit is required.
• For absences lasting more than 7 calendar days, you must provide a fit note from a doctor, nurse, pharmacist, physiotherapist, or occupational therapist.

Employers cannot demand a sick note before 7 days unless this is written into your contract. HMRC does not permit employers to delay SSP payment simply because they have not yet received a fit note the legal obligation to pay begins from day one of eligible absence.

If you are working abroad and become unwell, a non-UK medical certificate may be submitted. HMRC can arrange for translation if the employer disputes the entitlement.

How Long Can You Receive SSP?

Statutory Sick Pay can be paid for a maximum of 28 weeks within a linked period of sickness absence.

What counts as a linked period?

If you return to work and then fall ill again within 56 days (8 weeks), the two periods of sickness are treated as one continuous period. The average weekly earnings calculation from the first period carries through to the second. This is an important detail for payroll purposes the same earnings figure applies across all linked absences.

Once 28 weeks of SSP are exhausted, your employer must issue an SSP1 form. You can then apply for Employment and Support Allowance (ESA) through your local Jobcentre.

Edge Cases and Situations Employers Often Get Wrong

Employees Already Off Sick on 6 April 2026

Where a sickness absence started before 6 April 2026 and continued beyond that date, transitional protection applies. These employees continue to receive the uprated flat rate of £123.25 until they return to work, exhaust their 28-week entitlement, or their employment ends. The new 80% calculation does not reduce their pay mid-absence.

Employees Serving Waiting Days on 5 April 2026

Any employee who was in the three-day waiting period on or before 5 April 2026 became entitled to SSP from 6 April onwards even if they had not yet completed the old waiting day requirement.

The Lower Earnings Limit Still Applies Elsewhere

Removing the Lower Earnings Limit from SSP does not affect other statutory payments. Statutory Maternity Pay, Paternity Pay, and Adoption Pay still carry their own earnings thresholds. If your business handles these alongside SSP, your payroll process needs to distinguish between them carefully. 

Zero-Hours and Variable-Hours Workers

SSP eligibility now extends to zero-hours and variable-hours employees. Their average weekly earnings are calculated over the 8 weeks before the absence, and their qualifying days must be agreed with the employer. Short-term absences that previously fell entirely within the waiting period now trigger payment.

Payroll Software Compliance

HMRC’s SSP calculation changed structurally in April 2026. Payroll systems must now apply the lower of the flat rate or 80% of AWE, not simply apply the flat rate to anyone above an earnings threshold. If your payroll software has not been updated, SSP calculations may be wrong. This creates both a compliance risk and the possibility of underpaying staff.

Employer Obligations: What the Law Requires

Employers cannot pay less than the statutory minimum. If they pay contractual (enhanced) sick pay, that amount must be at least equal to SSP it cannot substitute for it if it falls below the statutory rate.

SSP is treated as taxable earnings. Income Tax and National Insurance are deducted through PAYE in the same way as normal wages.

Employers cannot reclaim SSP from HMRC. The percentage threshold scheme that allowed small employers to recover SSP costs was abolished in 2014. The cost falls entirely on the employer. With the removal of waiting days and the Lower Earnings Limit, businesses should expect an increase in SSP claims particularly for short-term absences. HMRC estimates the additional cost per employer at approximately £15 per employee per year on average, though the impact on high-absence industries will be greater.

If an employee believes they are not receiving the correct SSP, they have the right to contact HMRC directly. Disputes can also be taken to an Employment Tribunal as an unlawful deduction of wages.

What Happens When SSP Ends?

After 28 weeks, SSP stops. Your employer issues an SSP1 form, which confirms you have used your full entitlement. You submit this form to Jobcentre Plus when applying for ESA.

Some employers operate enhanced contractual sick pay policies that extend beyond SSP. If yours does, the terms will be set out in your employment contract or staff handbook. Any employer considering introducing an enhanced policy should ensure the contractual wording is precise ambiguous language is a common source of employment disputes.

How Payroll Errors Create Compliance Risk

SSP appears straightforward but creates real compliance exposure for businesses that manage payroll in-house.
The April 2026 changes mean employers must now:

• Apply the 80% AWE calculation correctly for lower earners
• Remove any reference to the three waiting days from their policies
• Identify employees transitionally protected from the rate change
• Maintain accurate records of qualifying days and sickness periods
• Update employment contracts where contractual sick pay is referenced

HMRC can investigate SSP non-compliance. Penalties and back-payment obligations follow. For businesses already managing Corporation Tax obligations, VAT returns, and annual accounts, adding full payroll compliance on top is genuinely difficult to do accurately without dedicated support.