Academy Training Payroll Pulse – April Edition
Welcome to Payroll Pulse, the only blog where payslips come alive, and payroll teams get their moment in the spotlight!
Academy Training Payroll Pulse – April 2026 Edition
New tax year, new rules, same payroll brilliance!
April is here — the start of a brand-new tax year and one of the busiest times in the payroll calendar. Systems have been updated, rates refreshed, and inboxes are… let’s say lively.
Let’s break down everything you need to know this month — from SSP shake-ups to CIS changes and everything in between.
SSP Reform is LIVE – The Biggest Change This Year
From 6 April 2026, the long-awaited Statutory Sick Pay (SSP) reforms have officially landed — and they’re a big deal.
What’s changed?
• Lower Earnings Limit removed → more employees now qualify
• Waiting days abolished → SSP payable from day one
• Paid at 80% of Average Weekly Earnings or £123.25, whichever is lower
Transitional rules (important!)
For absences spanning 6 April:
• Previously ineligible employees may now qualify
• Waiting days are cancelled from 6 April (not backdated)
• Long-term absences starting before Sept 2025 may not qualify under new rules
Payroll takeaway: You must track absence dates carefully and ensure your systems can handle split rule applications.
P11D Changes – Small but Significant
HMRC has introduced two key changes from 6 April 2026:
- Paper P11Ds for ceased businesses
If a business ceases mid-year, they can now:
• Submit paper P11D/P11D(b) immediately
• Instead of waiting until year-end
- Voluntary BiK payrolling removed
• Employers can no longer voluntarily register to payroll benefits for 2027–28 onwards
• This prepares for mandatory payrolling from April 2027
Payroll takeaway: The shift to real-time benefits reporting is accelerating — preparation now is key.
HMRC’s “Get Tax Confident” Campaign
HMRC has launched a refreshingly human campaign to explain tax in plain English.
Sections include:
• Tax basics
• Working life
• Retirement
• Small business
No jargon. No confusing terminology. Just clear, accessible guidance.
A welcome move — and something payroll teams can confidently signpost employees to.
New Bereaved Partners Paternity Leave (BPPL)
From 6 April 2026, a new entitlement is introduced:
• Up to 52 weeks unpaid leave
• Applies if a partner dies before the child’s first birthday
• Day one right
• Must be taken in one block
No statutory pay is attached, but employers may offer discretionary support.
Holiday Year-End Reminder
As many organisations close their holiday year in March, April brings the aftermath:
Employees asking to be paid instead of taking leave.
Let’s be clear:
• Statutory leave (5.6 weeks) cannot usually be paid in lieu
• Payment is only allowed on termination
Employers must:
• Encourage leave to be taken
• Warn employees about loss of entitlement
• Allow carry-over where required
Payroll isn’t just about pay — it’s about protecting wellbeing too.
CIS Changes – Nil Returns Are BACK
From 6 April 2026:
• Contractors must submit monthly CIS returns, even if no payments are made
• Or notify HMRC in advance of inactivity
Penalties return in full:
• £100 (late)
• £200 (2 months late)
• £300 or 5% (6 months late)
Also new:
• Payments to local authorities/public bodies are now exempt from CIS
Payroll takeaway: Compliance is back under the spotlight — no more skipping nil returns!
Employment Tribunal Limits Increased
From April 2026:
Great Britain:
• Week’s pay cap → £751
• Unfair dismissal compensatory award → £115,115
Northern Ireland:
• Week’s pay cap → £783
National Minimum Wage – Timing Matters!
New NMW rates apply from 1 April 2026… but not always when you think.
The key rule: Rates apply from the first full pay reference period starting on or after 1 April
Example:
• Pay period: 21 March – 20 April → Old rate applies
• Next period: 21 April – 20 May → New rate applies
Payroll takeaway: It’s about the pay period start date, not the payment date.
Youth Jobs & Apprenticeship Boost
The Government has announced a major employment initiative:
• £3,000 grant for hiring eligible young people (18–24)
• Expansion of the Jobs Guarantee scheme
• £2,000 incentive for SMEs hiring apprentices (16–24)
This could mean:
• More starters
• More payroll onboarding
• More opportunity to support early careers
Bank Rate Holds at 3.75%
The Bank of England has maintained the base rate at 3.75% (unanimous vote).
Next decision: 30 April 2026
Reminder: HMRC late payment interest = Base + 2.5%
Gender Pay Gap – Deadline Approaching
• Snapshot date: 5 April (private sector)
• Deadline: 4 April annually (following year)
Employers must report:
• Mean & median pay gaps
• Bonus gaps
• Pay quartiles
And yes… this is where mean vs median finally matters in real life!
Riddle Time!
Last Month’s Riddle:
“I’m new in a year but old in a flash… Ignore me at year end? You’ll regret it in May…”
Answer:
The P60
April Riddle:
“I start with a code but I’m not hard to crack, I tell you your tax but don’t hold it back. Change me too late and employees will say… ‘Why has my net pay gone down today?!’ What am I?”
(Answer revealed in May’s Payroll Pulse!)
Final Thoughts
April is the heartbeat of payroll — the moment where planning meets reality.
From SSP reform to CIS compliance, BiK changes to NMW timing, there’s a lot to juggle — but nothing payroll professionals can’t handle.
So here’s to a smooth year ahead:
• Accurate calculations
• Happy employees
• And maybe… fewer tax code queries (we can dream!)
Stay informed, stay confident, and stay payroll proud!
From all of us at Academy Training
