UK Budget 2026: Key Points for Employers

The Chancellor delivered the Autumn Budget on 28 October 2026 announcing a range of measures which will be of interest to employers, from wage increases and employee share incentives to future reform of non-competes and parental leave. Some measures are due to take effect in 2027, whilst others await consultation or further detail.

Non-Competes

The Government reiterated its commitment to legislate on non-competes, with proposed reforms applying “across the whole economy.” Consultation on the wider use of restrictive practices is expected shortly, and the Government has indicated it will set out a detailed position on these issues in early 2027 ahead of legislation. See our previous article.

Parental Pay for the Self-Employed

From April 2029, parental pay is expected to be extended to eligible self-employed fathers, partners and adopters in Great Britain (who currently have no entitlement). The Budget paper noted that those recently employed or unemployed, or with irregular or broken employment histories, who do not qualify for statutory paternity or adoption pay may also benefit, subject to having sufficient work and earnings history. Further details, including eligibility requirements and how the right will operate in practice, are awaited.  

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