How Much is Statutory Sick Pay?

Statutory Sick Pay (SSP) is the minimum amount employers in the UK are legally required to pay employees who are too ill to work. From April 2024, the weekly rate stands at £116.75, though a new earnings-linked system took effect from April 2025 that could affect how much eligible workers receive.

Understanding SSP rates, eligibility rules, and payment calculations helps both employees and employers navigate sick leave entitlements correctly. This guide covers current rates, qualification criteria, payment periods, and key differences from company occupational schemes.

The rules around SSP underwent significant changes in April 2025, moving from a flat weekly rate to a system linked to actual earnings. Workers earning below certain thresholds may now receive less than previous rates, while higher earners could benefit from the 80% earnings calculation.

Key Facts About Statutory Sick Pay

• The flat weekly rate of £116.75 applied from 6 April 2024, replacing the previous rate of £109.40 from 2023-24
• From April 2025, SSP changed to 80% of normal weekly earnings (capped at the flat rate), representing a fundamental shift in how payments are calculated
• The first three consecutive sick days are “waiting days” during which SSP is not paid
• Employees must provide fit note evidence from a doctor after seven days of illness
• SSP qualifies as taxable income and is subject to standard Income Tax and National Insurance contributions
• Employers fund SSP themselves and cannot reclaim payments from HMRC under normal circumstances
• Self-employed workers are not entitled to SSP and must rely on alternative benefits such as Employment and Support Allowance

Who is Eligible for Statutory Sick Pay and When Does it Start?

Not every worker qualifies for SSP. Employees must meet specific employment and earnings conditions before becoming entitled to payments. Understanding these eligibility requirements helps workers determine whether they can claim and helps employers avoid paying incorrectly.

Core Eligibility Conditions

To qualify for Statutory Sick Pay, workers must satisfy four main criteria. First, they need to earn an average of at least £123 per week before tax—this figure is known as the Lower Earnings Limit. Second, they must have an employment contract, whether written, oral, or implied. Third, they must be absent due to illness for at least four consecutive calendar days. Fourth, they must provide appropriate notice and, after seven days, a medical fit note.

The earnings threshold applies to average weekly pay over the eight-week period before the illness. This means casual workers and those with variable hours may still qualify if their average meets the requirement. Contract workers, agency staff, and part-time employees all qualify if they meet these conditions.

When Payments Begin

SSP does not start immediately upon falling ill. The first three consecutive days of sickness—known as “waiting days”—are unpaid. Payment begins on the fourth consecutive day of illness. This applies even if the employee would normally have worked on those days.

For example, an employee who falls ill on Monday and does not return to work until the following Monday qualifies for SSP from Thursday onwards, assuming their earnings meet the threshold. Wednesday, Thursday, and Friday of the first week count as waiting days, with SSP starting the following Monday.

Notice and Evidence Requirements

Employers may set their own notification requirements for sick leave. Most require employees to notify them of illness before their normal start time on the first day of sickness. This allows employers to manage cover and adjust schedules accordingly.

A fit note from a GP becomes necessary after seven consecutive days of illness. These certificates—sometimes called “med3” forms—confirm that an employee is not fit for work due to health reasons. Employers cannot demand proof of illness before this threshold unless their own company policy specifically requires it.

How Long Does Statutory Sick Pay Last?

Statutory Sick Pay can be paid for a maximum of 28 weeks in any single period of incapacity for work. This duration applies regardless of how the illness develops or whether an employee works reduced hours during recovery. Understanding the 28-week limit helps both employees and employers plan for longer-term absences.

The 28-Week Limit Explained

A “period of incapacity for work” begins on the first day an employee is unable to work due to illness and continues until they return to work for at least eight weeks. Once an SSP period starts, it runs continuously for up to 28 weeks. If the employee returns to work for fewer than eight weeks and falls ill again with the same or related condition, the new absence links to the original period—meaning fewer weeks of SSP remain available.

After exhausting the 28-week SSP entitlement, employees must look to other sources of income. This might include employer occupational sick pay schemes, if available, or means-tested benefits such as Universal Credit. Employees in this situation should contact their local Jobcentre or explore benefit options through How Much Universal Credit Will I Get for guidance on alternative support.

Returning to Work and Linked Periods

The eight-week gap between illness periods resets SSP entitlement. An employee who returns to work for eight consecutive weeks and then falls ill again starts a new period of incapacity with a fresh 28-week allowance. This rule prevents employees from perpetually drawing SSP for chronic conditions without recovery breaks.

However, conditions that are related—like recurring back problems or mental health episodes—may still link across multiple absences even with gaps between them. The determination of whether conditions are “linked” depends on medical evidence and, in disputed cases, may be reviewed by HM Revenue and Customs.

What Happens After SSP Ends

When 28 weeks of SSP expire, employees face potential loss of income. Some may qualify for Employment and Support Allowance (ESA), which provides support for those with limited capability for work due to illness or disability. Others may be eligible for Universal Credit, particularly if their savings are below certain thresholds and they cannot work due to health conditions.

Employees should also check whether their employer offers an occupational sick pay scheme that tops up SSP or provides payments after SSP exhaustion. Not all employers provide this benefit, but company policies often specify enhanced terms that can extend financial support during illness.

How is Statutory Sick Pay Calculated?

Calculation of SSP depends on the number of qualifying days an employee works each week and their average earnings. The daily rate is derived by dividing the weekly SSP amount by the number of qualifying days. Employees only receive SSP for days they would normally have been scheduled to work.

Understanding Qualifying Days

Qualifying days are the days an employee would normally be expected to work under their contract. These may be Monday to Friday for office workers, or any other pattern specified in employment agreements. SSP is calculated per qualifying day and paid only for qualifying days that fall within the illness period.

For an employee working a standard five-day week, dividing the weekly rate by five produces the daily payment. For those working fewer days—such as a three-day week—the calculation produces a different daily figure. An employee working only one qualifying day per week receives the full weekly SSP amount for that single day.

Daily Rate Examples

Part-Time and Variable Hours

Part-time employees receive SSP calculated proportionally to their working pattern. A part-time worker contracted for two days per week receives £58.38 for each day of illness, meaning two sick days would equal £116.75. However, the 80% of earnings rule from April 2025 may change this calculation for workers with higher hourly rates.

Variable-hours workers and those on zero-hours contracts qualify if their average earnings over the preceding eight weeks meet the £123 threshold. Their SSP is calculated based on their average working week, which may be determined from recent payslips or employer records.

Statutory Sick Pay vs Occupational Sick Pay

Many employers supplement SSP with their own occupational sick pay schemes, which provide enhanced payments beyond the statutory minimum. Understanding the distinction helps employees know what to expect from their employers and helps businesses design competitive benefits packages.

Key Differences Between SSP and Occupational Schemes

Statutory Sick Pay is a legal minimum that employers must pay to eligible employees regardless of company size or sector. It cannot be contracted out of, though employers with approved schemes may be able to reclaim some payments in certain circumstances. SSP is funded entirely by the employer. For those interested in further financial assistance, exploring UK student scholarship opportunities may be beneficial, and you can find more information at $UK student scholarship opportunities.

Occupational sick pay refers to enhanced company schemes that typically offer higher payments, longer durations, or both. A common arrangement is “company sick pay” providing full pay for several weeks followed by half pay for a further period. These schemes exist entirely at the employer’s discretion and are not required by law.

How They Interact

When an employer provides occupational sick pay, they may choose to offset this against SSP obligations. This means the occupational payment effectively replaces SSP, with the employer making up any difference. Employees cannot receive both simultaneously for the same absence period.

Some employment contracts specify that occupational sick pay runs concurrently with SSP rather than as a top-up. In these cases, the employer’s full sick pay entitlement—including SSP—counts toward the occupational scheme’s allowance. Understanding which arrangement applies is essential for calculating total sick pay entitlements.

Historical SSP Rate Changes

Statutory Sick Pay rates are reviewed annually and typically increase each April in line with inflation and average earnings growth. The following timeline shows how the rate has evolved, illustrating the context for the current payment structure.

1. April 2023 — SSP increased to £109.40 per week, representing a modest rise from the previous year’s rate
2. April 2024 — Rate rose to £116.75 per week, an increase of £7.35 from the 2023-24 level
3. April 2025 — Fundamental reform replaced the flat rate with an 80% of normal weekly earnings model, capped at the previous flat rate threshold
4. Future Reviews — Annual increases will continue to apply, with rates adjusted each April based on government calculations

The April 2025 change marked the most significant structural reform to SSP in years. Rather than simply increasing the flat rate, the government introduced a proportional model linked to actual earnings. This change particularly affects workers earning above the previous flat rate threshold, who will now receive 80% of their normal pay rather than the fixed amount.

What is Clear and What Remains Uncertain

While SSP regulations are well-established for employees with standard employment arrangements, certain aspects remain unclear or apply only to specific situations. Distinguishing between confirmed facts and areas of uncertainty helps readers understand the limits of current knowledge.

The reform from April 2025 introduces new complexity around earnings calculations. Workers whose normal weekly earnings are significantly above the flat rate threshold will now receive 80% of their pay rather than the capped amount. However, the precise interaction between this reform and existing employer schemes requires clarification from individual employers and, potentially, HMRC guidance.

The Broader Context of Statutory Sick Pay

Statutory Sick Pay represents the government’s baseline protection for workers during illness. Unlike unemployment benefits or pensions, SSP applies specifically to employees who fall ill while in work and meet contribution and earnings conditions. The scheme has evolved over decades to balance worker protection with employer affordability.

The UK’s approach differs from many European countries where sick pay is funded through social insurance systems. In Germany, for instance, employers pay full salary for up to six weeks, after which health insurance provides payments. The UK’s employer-funded SSP model places the administrative burden and cost on individual businesses, though small employers may qualify for certain reliefs.

Critics argue that SSP at £116.75 per week falls below the real living wage, potentially trapping sick employees in financial hardship. Supporters note that SSP supplements rather than replaces employer sick pay schemes and that the 28-week duration provides meaningful protection for most short-to-medium illness episodes. The April 2025 reform partially addresses earnings concerns by linking payments to actual pay.

Sources and Official Guidance

The primary authoritative sources for SSP information are government bodies and employment advisory services. The following sources informed this guide and provide the most up-to-date regulatory details.

GOV.UK guidance on Statutory Sick Pay outlines eligibility requirements, payment rates, and employer obligations. The site provides official rates and statutory instruments governing SSP payments.

Acas (Advisory, Conciliation and Arbitration Service) offers practical guidance on SSP for both employers and employees, including details on calculation methods and employer compliance requirements.

HM Revenue and Customs provides technical guidance on the treatment of SSP for tax and National Insurance purposes, including employer reporting obligations.

Summary

Statutory Sick Pay provides essential financial protection for UK employees during illness. The current rate of £116.75 per week applies through March 2025, after which an 80% of earnings model takes effect. Workers must earn at least £123 per week on average, hold an employment contract, and be absent for at least four consecutive days to qualify. Payment begins on the fourth day after three waiting days, continuing for up to 28 weeks per illness period.

For those whose SSP entitlement ends or who do not qualify due to employment status, exploring alternative benefits becomes necessary. Options include Universal Credit for those on low incomes or with limited savings, and Employment and Support Allowance for those with long-term health conditions affecting work capability. Accessing Pharmacy Open Near Me services may also help manage health conditions that lead to extended sick leave.

Frequently Asked Questions