Statutory redundancy rates 2026/27
The headline numbers
Statute basis
The weekly cap is set under ERA 1996 s.227 and uprated annually under section 34 of the Employment Relations Act 1999. The 2026/27 figures were made by the Employment Rights (Increase of Limits) Order 2026 (SI 2026/310), which takes effect from 6 April 2026.
Which terminations the new rate applies to
The rate is the one in force on the "relevant date", which is the effective date of dismissal. A termination on 5 April 2026 uses the 2025/26 cap of £719. A termination on 6 April 2026 or later uses £751. The date the at-risk letter was issued or notice was served does not determine the rate.
Year-on-year change
The 2026/27 uprating of 4.5% (£719 to £751) tracks the September 2025 RPI figure of 4.5% (the Retail Prices Index is the statutory index under section 34 of the Employment Relations Act 1999, not CPI). The maximum statutory payment rose by £960 as a result.