Statutory Rate Increases from April 2020

Statutory Rate Increases from April 2020

The government have announced the proposed new rates for statutory maternity pay (SMP), statutory adoption pay (SAP), statutory paternity pay (SPP), statutory shared parental pay (ShPP) and statutory sick pay (SSP) for tax year 2020/21.

With effect from the 5th April 2020, the standard weekly rates of SMP, SAP, SPP and ShPP will increase from £148.68 to £151.20 and the weekly rate of statutory sick pay will increase from £94.25 to £95.85 from 6 April 2020. 

The lower earnings limit, below which employees are not entitled to SMP, SAP, SPP, ShPP and SSP, will increase from £118.00 to £120.00 per week from 6 April 2020.

Finally, the maximum amount of a week’s pay for the purposes of calculating statutory redundancy pay is also set to increase on the 6th April 2020, to £538.  The current maximum is £525.

Fiona Haworth

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If you feel that you need guidance or advice on this matter, please call Practical HR on 01702 216573 or email Fiona on the above.