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Termination & severance

UK EOR & Employment Guide

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Notice can be statutory (minimum by length of service) or contractual (if greater). Termination must be fair and follow process where applicable. Statutory redundancy pay is based on age and length of service; there is a cap on a week's pay (from April 2025, £719 per week for 2025/26; the cap is updated each April). GOV.UK: Calculate your statutory redundancy pay. The EOR will handle notice periods, final pay, P45s, and redundancy calculations and payments in line with the contract and law.

Rates and thresholds change each tax year. Check GOV.UK or your adviser for the current year.

Key rates (2025/26 & 2026/27)

Source: GOV.UK

Rate2025/262026/27
NLW (21+)£12.21/hr£12.71/hr
Employer NICs15% above £5k15% above £5k
SSP (weekly)£118.75£123.25 or 80% AWE
SMP/SPP etc (weekly)£187.18 or 90% AWE£194.32 or 90% AWE
Redundancy cap (week)£719See GOV.UK
Pension trigger£10k; band £6,240–£50,270Unchanged

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