Why April 2026 matters (and why it’s worth planning now)

April is the month where lots of people changes land at once – payroll updates, statutory rates, and (this year) some meaningful shifts in employee rights. For SMEs, the risk isn’t just “getting it wrong legally”; it’s the knock-on impact on costs, manager confidence and consistency in how people are treated.

Below is a clear, business-friendly summary of the key changes taking effect from April 2026 and what to do now so you’re not firefighting later.

National Minimum Wage is rising from 1 April 2026

From 1 April 2026, the National Minimum Wage / National Living Wage rates increase. The Government’s published 2026 rates include a National Living Wage (age 21+) of £12.71, with increases for younger workers and apprentices too.

This is rarely just a “tick-box payroll change”. Many employers feel the ripple effect through pay structures – especially where supervisors, team leaders or skilled roles end up sitting uncomfortably close to new starter rates.

What to do now: sense-check salary bands, overtime calculations, deductions, and any roles paid close to the threshold so you avoid accidental underpayments.

Statutory Sick Pay is changing from 6 April 2026

From 6 April 2026, Statutory Sick Pay (SSP) becomes payable from the first day of sickness absence, and the Lower Earnings Limit is removed – meaning more workers will qualify. The new approach also changes how SSP is calculated, with SSP set at 80% of average weekly earnings or the flat weekly rate (whichever is lower).

This is one of the changes most likely to be “felt” day-to-day, because short absences that previously fell into waiting days may now trigger SSP.

What to do now: review your absence policy and manager guidance, and make sure your reporting and return-to-work process is consistent. This is also a good opportunity to tighten up how you address recurring short-term absence versus longer-term ill health.

Some family leave becomes a day-one right

Government guidance confirms that from April 2026, employees will be entitled to Paternity Leave and Unpaid Parental Leave from day one of employment (removing the previous qualifying service requirement).

In practice, this is less about volume and more about manager confidence – because family leave questions often arrive early and emotionally loaded.

What to do now: update handbook wording and manager FAQs so eligibility is communicated correctly and consistently (and not left to “what we think the rule is”).

New bereavement-related paternity right

As part of the April 2026 changes highlighted in Government guidance, there’s also a new right described as Bereaved Partner’s Paternity Leave – time off following the death of a child’s mother or primary adopter.

This is a sensitive area where policy clarity matters. Employees need compassion and confidence that the organisation understands what support is available.

What to do now: ensure your family leave/bereavement policies signpost clearly, and brief managers on how to respond appropriately if this arises.

Collective redundancy: higher financial risk for getting consultation wrong

From 6 April 2026, the maximum protective award for failure to properly consult in a collective redundancy situation will double from 90 days’ pay to 180 days’ pay, according to ACAS guidance on the Employment Rights Act 2025 changes.

Even if redundancies are not on your roadmap, restructures and cost-saving exercises can move quickly when trading conditions change and collective consultation risk is an area where “we’ll deal with it when we get there” can become expensive.

What to do now: if redundancies are even a possibility in 2026, get advice early on thresholds, timelines, selection, communications and documentation.

What this means in real life for SMEs

If you run a small business, these changes typically create three practical pressure points:

First, cost planning (wage rates, sick pay exposure, and pay compression). Second, process updates (policies, payroll settings, record-keeping). Third, manager confidence – because most compliance issues happen in conversations, not in boardrooms.

The strongest approach is to treat April 2026 as a tidy-up moment: get your policies aligned, make sure payroll is ready, and give managers simple guidance so they can handle questions calmly and consistently.

How we can help at Haus of HR

At Haus of HR, we help SMEs stay compliant without drowning in complexity. That usually looks like:

• reviewing and updating handbooks and policies (absence/SSP, family leave, redundancy processes)

• creating manager “what to say” guides and short briefings

• pressure-testing pay structures and practical implementation risks

• supporting restructures and consultations where needed

If you want a simple starting point, begin with our HR consultation so we can flag any immediate people-risk issues we spot ahead of April 2026.

Visit hausofhr.com