Redundancy pay calculator
Statutory redundancy pay with the current caps — £751 a week, 20 years of service, £22,530 maximum — and the age-band arithmetic shown, not hidden. Checked against the official GOV.UK calculation.
Whole years, on the day employment ends
Complete years only — partial years don't count
Before tax, averaged over the 12 weeks before notice
- Years worked at 41+: 6 weeks (1.5 × year)
- Years worked at 22–40: 6 weeks (1 × year)
England, Scotland and Wales; redundancy dates on or after 6 April 2026. Northern Ireland caps differ (£783/week, £23,490 max). Redundancy pay up to £30,000 is tax-free. Your employer's own scheme may pay more — this is the statutory floor.
The three age bands
Years worked at 41+
1.5 weeks’ pay for each full year of service during which you were 41 or older, counting back from the redundancy date.
Years worked at 22–40
1 week’s pay per full year in this band. Most careers put the bulk of service here.
Years worked under 22
Half a week’s pay per full year. Service before 22 still counts — just at the lower multiplier.
Worked reference (matches GOV.UK's own calculator): redundant 1 July 2026 aged 45 with 10 full years' service on £800 a week → 4 years at 1.5 + 6 years at 1 = 12 weeks × £751 (capped) = £9,012. All 2026-27 statutory figures on our statutory rates page.
Redundancy questions, answered plainly
How is statutory redundancy pay calculated?
Count each full year of service (up to 20), banded by your age during that year counting back from the redundancy date: 1.5 weeks’ pay for years worked at 41 or older, 1 week for years at 22–40, and half a week for years under 22. Multiply the total weeks by your gross weekly pay, capped at £751 for redundancies on or after 6 April 2026. The overall maximum is £22,530.
Who qualifies for statutory redundancy pay?
Employees with at least 2 full years of continuous service who are dismissed by reason of redundancy. Workers and the genuinely self-employed don’t qualify, and neither do employees who unreasonably refuse suitable alternative employment. Under 2 years there is no statutory payment — though notice pay and any contractual scheme still apply.
Is redundancy pay taxable?
The first £30,000 of a redundancy payment is tax-free — that covers the statutory amount comfortably (the statutory maximum is £22,530) plus part of any enhanced package. Payments above £30,000, and elements that are really wages (notice pay worked, holiday pay), are taxed as normal.
Do Northern Ireland rates differ?
Yes. This calculator uses the England, Scotland and Wales caps (£751 a week, £22,530 maximum, from 6 April 2026). Northern Ireland sets its own limits — £783 a week and £23,490 maximum for the same period.
What else am I owed on redundancy besides the statutory payment?
Your notice period (worked or paid in lieu), any accrued untaken holiday, and anything your contract or your employer’s redundancy scheme adds on top. There are also collective-consultation rights when 20 or more redundancies are proposed at one establishment — and the protective award for breaching them doubled under the Employment Rights Act 2025 from April 2026.
Handling a redundancy process properly takes more than arithmetic.
Blankitt HR keeps service history, pay records, consultation notes and the final settlement figures in one place — so statutory calculations start from data you already trust.