Annual increase in compensation limits


The Employment Rights (Increase of Limits) Order 2022 has been laid before parliament and will revise compensation limits for some tribunal awards and other statutory payments. 

A week's pay, for the purposes of basic awards and redundancy payments will increase from £544 to £571.  The maximum compensatory award will rise from £89,493 to £93,878.  Meanwhile the minimum basic award for certain unfair dismissals (including health and safety dismissals) will increase from £6,634 to £6,959.

The new limits will apply to dismissals which take place on or after 6 April 2022.

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