Getting SSP Right!

How much Statutory Sick Pay do I need to pay and does it change for low earners?

In April 2026, Statutory Sick Pay (SSP) changed in a way that affects almost every employer.

One of the biggest shifts is that there is no longer a lower earnings limit for SSP. This means more employees now qualify. However, the amount you pay can vary depending on how much the employee normally earns.

Here’s how it works in practice.

The headline rule

As of 6 April 2026, SSP is paid at the lower of:

• £123.25 per week, or
• 80% of the employee’s average weekly earnings (AWE)

This replaces the old flat‑rate‑only system and brings lower‑paid employees into SSP entitlement for the first time.

There is no longer a “low earnings limit”

Previously, employees had to earn at least a minimum amount to qualify for SSP. That rule has gone.

Now, SSP applies to far more people, including lower‑paid and part‑time workers, as long as they are classed as employees for tax purposes and follow the normal sickness reporting rules.

Employees earning at or above the SSP rate

If an employee earns £123.25 per week or more, SSP will usually be paid at the flat weekly rate of £123.25.

Example:

• Employee earns £300 per week
• 80% of earnings = £240
• SSP payable = £123.25 (because it is lower)

This will feel familiar to most employers, as it reflects how SSP has traditionally worked.

Employees earning below the SSP rate

This is where the approach is different.

If an employee earns less than £123.25 per week, you do not top their pay up to the flat SSP rate. Instead, SSP is paid at 80% of their average weekly earnings.

Example:

• Employee earns £120 per week
• 80% of earnings = £96
• SSP payable = £96 per week

This ensures SSP does not exceed the employee’s normal pay and replaces the old system where many low earners received no sick pay at all.

Who now qualifies for SSP?

As a result of these changes, SSP now applies much more widely. This includes:

• Part‑time staff
• Zero‑hours workers
• Casual and low‑paid employees

If they are classed as employees for tax purposes and report their sickness correctly, SSP will usually apply.

The key message is: 

You no longer need to ask, “Do they earn enough for SSP?”  Instead, the question is now, “What is the correct SSP amount based on their earnings?”

If we can assist with any aspect of HR or employment law please give us a call 01527 909436.

We have lots of articles about SSP on our Knowledge Centre. Just click the link and search for the word ‘SSP’