Proposed statutory pay rates from April 2020 23 January 2020
We are still awaiting official confirmation of what the statutory payment rates for the tax year 2020-21 will be, but the proposed figures have been in circulation for a while now, so it would be advisable for payroll professionals to familiarise themselves with what they are potentially going to be.
The rates are still subject to parliamentary approval, but it is anticipated that the rates below will be approved and implemented from April 2020.
Statutory Payments
2020-21
Statutory Maternity Pay (SMP)
First 6 weeks
90% of AWE
lesser of 90% of AWE or £151.20
Further 33 weeks
Statutory Adoption Pay (SAP)
First 6 weeks
90% of AWE
lesser of 90% of AWE or £151.20
Further 33 weeks
Statutory Paternity Pay (SPP)
lesser of 90% of AWE or £151.20
2 weeks
Shared Parental Leave and Pay (ShPP)
Maximum of 37 weeks (35 weeks for factory workers)
lesser of 90% of AWE or £151.20
*Proposed*
Statutory Parental Bereavement Leave (SPBP) -
lesser of 90% of AWE or £151.20
2 weeks
Employers can recover 92% of SMP, SAP, SPP and ShPP paid. Small employers (defined as those with less than £45,000 gross NICs pa) are entitled to recover 103% (100% plus 3% compensation)
Statutory Sick Pay (SSP)
Standard weekly rate
£95.85
Since 6 April 2016, no recovery of SSP has been allowable
As soon as the proposed figures are officially confirmed, the CIPP will update its members via News Online and update all relevant guidance material in due course.
The Chartered Institute of Payroll Professionals
Payroll: need to know
cipp.org.uk
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