Whilst the minimum wage rates have been announced we are still yet to hear what the statutory rates will be increasing by. However, given the minimum wage rates have risen by 10% I would not be surprising to see other rates rise by a similar amount. For redundancy pay this would likely take the cap for a week’s pay to over £620 rising by over £50.

As with minimum wage rates employers should note the new rates when they are announced to avoid the risk of any deductions claims for incorrect rates paid after April 2023. In the circumstances we forecast many employers will plan redundancies to take effect before the end of March to save thousands in redundancy pay.