When employees are unwell and unable to work, they still need financial support. In the UK, this is where Statutory Sick Pay (SSP) comes in. SSP is one of the most common statutory payments employers must handle through their payroll system.
This guide explains what SSP is, how it works, eligibility rules, and what employers need to know.
What Is Statutory Sick Pay (SSP)?
Statutory Sick Pay is the minimum legal amount employers must pay to employees who are too ill to work. It ensures workers are not left without income when they fall sick.
SSP is set by the government, and all qualifying employees are entitled to it for up to 28 weeks. Employers cannot offer less than the statutory rate, but they may choose to provide more through company sick pay policies.
SSP Rate 2025
As of April 2025, the weekly rate of SSP is £116.75. This amount is paid by employers in the same way as normal wages, through payroll, with tax and National Insurance deductions applied.
Who Qualifies for SSP?
Employees are eligible for SSP if they:
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They are classed as employee and have done some work for their employer.
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Earn at least £123 per week (before tax).
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Have been off work sick for at least 4 consecutive days (including non-working days).
Employees who are self-employed or on very low earnings do not qualify for SSP but may be able to claim other benefits.
When Does SSP Start and End?
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Starts: From the 4th day of sickness (first 3 days are called “waiting days” and usually unpaid).
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Ends: After 28 weeks, or if the employee returns to work.
If the sickness lasts longer, employees may need to apply for Employment and Support Allowance (ESA).
Employer Responsibilities for SSP
Employers must:
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Pay SSP correctly if the employee qualifies.
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Keep accurate records of absences and payments.
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Include SSP in payroll reporting under Real Time Information (RTI).
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Communicate clearly with employees about their entitlement.
Employers can no longer reclaim SSP costs from HMRC, so the cost sits entirely with the business.
How SSP Fits into Payroll
SSP must be processed through payroll, just like regular wages. This ensures:
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The correct tax and NI are deducted.
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Payments are reported to HMRC.
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Employees receive accurate payslips showing their entitlement.
Using payroll software makes this process smoother and reduces errors.
Final Thoughts
SSP plays a vital role in protecting employees during illness while ensuring businesses stay compliant with UK law. Employers need to be clear about eligibility rules, payment amounts, and payroll processes to avoid mistakes.
For many small and medium-sized businesses, outsourcing can be the easiest way to stay compliant with SSP, RTI, and other payroll rules. That’s why professional Payroll Services Accountants are in high demand—helping businesses manage everything from statutory payments to HMRC reporting with ease.
