Cost vs. benefit | Employment Rights Bill to cost UK firms £5bn a year, Gov reveals

Labour’s Employment Rights Bill is poised to introduce significant changes to the UK labour market, but new analysis suggests it could cost businesses up to £5 billion per year to implement. The bill, which represents the largest upgrade to workers’ rights in a generation, aims to tackle low pay, job insecurity, and poor working conditions, especially among vulnerable workers. 

However, the economic assessment reveals that these reforms may come at a substantial financial cost to employers, particularly those who rely heavily on flexible and low-paid contracts.