Statutory minimum plus voluntary & enhanced terms.
Capped at the most recent 20 years for the statutory calculation. A minimum of 2 years is required to qualify.
≈ £673.08 per week. Below the statutory weekly cap.
Default £719 (in force from 6 April 2025). The cap is reviewed each April — confirm the current figure on GOV.UK.
Applied only to amounts above the £30,000 exemption and to notice pay.
Statutory minimum £8,077
| Age during year | Years | Rate | Weeks |
|---|---|---|---|
| 41 or over | 4 | 1.5× | 6.0 |
| 22 to 40 | 6 | 1.0× | 6.0 |
| Under 22 | 0 | 0.5× | 0.0 |
| Total (10 yr capped) | 12 weeks |
Maximum possible statutory pay is £21,570 (30 weeks × £719). Statutory redundancy pay is tax-free.
Estimates for guidance only — not financial, tax or legal advice. Statutory redundancy pay uses the age-banded formula in the Employment Rights Act 1996, with service capped at 20 years and weekly pay capped at the statutory limit (reviewed each April — check the current figure on GOV.UK). Statutory redundancy pay is tax-free; the first £30,000 of a genuine redundancy package is generally tax-free, with the excess and any payment in lieu of notice taxed as income (and notice pay may also attract National Insurance, which this estimate excludes). Income tax bands differ in Scotland. Enhanced and voluntary terms vary by employer — always check your contract and settlement agreement, and consider independent advice.