Calculate your minimum legal redundancy entitlement in seconds. Updated for the April 2026 weekly pay cap.
Under the Employment Rights Act 1996, employees with at least 2 years of continuous service are entitled to a statutory redundancy payment when they are made redundant. The amount depends on three factors: your age, your length of service (up to a maximum of 20 years), and your weekly pay (capped at £751 from April 2026).
The statutory formula applies the following multipliers per complete year of service:
This calculator gives you the statutory minimum. Your employer may offer an enhanced redundancy package — check your contract or staff handbook. If they offer less than the statutory amount, they are breaking the law.
Age at date of redundancy
Must be 2+ years to qualify
Before tax and deductions. If pay varies, use your 12-week average.
Determines which weekly pay cap applies. Defaults to today if left blank.
Who qualifies for statutory redundancy pay?
You qualify if you are an employee (not a worker or self-employed contractor) and have at least 2 years of continuous service with your employer. You must have been genuinely made redundant — dismissed for performance or misconduct does not qualify.
What is the weekly pay cap for 2026?
From 6 April 2026, the weekly pay cap is £751. For redundancies before that date, the cap was £719. Even if you earn more than this, the calculation uses the capped figure.
Is statutory redundancy pay taxable?
Statutory redundancy pay is tax-free up to £30,000. If your total redundancy package (including any enhanced pay or payment in lieu of notice) exceeds £30,000, the excess is subject to income tax.
What if my employer refuses to pay?
If your employer refuses to pay your statutory redundancy entitlement, you can apply to an Employment Tribunal. The claim must be submitted within 6 months of the date your employment ended. You can also apply directly to the government if your employer is insolvent.
Can my employer offer less than the statutory amount?
No. Statutory redundancy pay is a legal minimum. Your employer cannot pay less than this amount. They may offer more through an enhanced redundancy scheme, but they cannot offer less. If they do, you can challenge it at an Employment Tribunal.