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UK Notice Period Law: Your Rights Explained 2026

Notice periods are one of the most misunderstood areas of UK employment law. This guide explains the statutory minimum entitlements under the Employment Rights Act 1996, how contractual notice interacts with those minimums, and what your options are when things go wrong.

Verified June 2026 · Source: ERA 1996 s.86

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Statutory minimum notice — the legal floor

The Employment Rights Act 1996, section 86, sets the minimum notice an employer must give an employee being dismissed. The period depends on continuous service:

Continuous serviceMinimum notice
Under 1 monthNone
1 month to 2 years1 week
2 years2 weeks
3 years3 weeks
12+ years12 weeks (maximum)

The pattern is straightforward: one week per complete year of service, up to a cap of 12 weeks. Service is counted in complete years — 23 months gives you one week's statutory notice, not two.

The minimum notice an employee must give when resigning is one week (for employees with one month or more of service), regardless of how long they have worked there. Your contract will usually require more.

Statutory vs contractual notice

Most employment contracts specify a longer notice period than the statutory minimum. The applicable period is whichever is higher — you cannot contract out of the statutory minimum.

Common contractual notice periods:

  • Junior employees: 1 month on either side
  • Mid-level employees: 1–3 months on either side
  • Senior or specialist employees: 3–6 months (sometimes 12 months for C-suite roles)

If your contract says "one month's notice" but the statutory minimum for your service length is 6 weeks, you are entitled to 6 weeks. The contract cannot reduce you below the statutory floor; it can only add to it.

Garden leave

An employer can place you on garden leave — requiring you to stay away from work during your notice period while continuing to pay your full salary and contractual benefits. You remain an employee throughout, which means:

  • You continue to accrue holiday and pension contributions
  • Post-termination restrictive covenants (non-compete, non-solicitation) are more likely to be enforceable, because the period runs from your actual leaving date, not when you were put on garden leave
  • You are not free to start a new job (doing so would be a breach of contract)

Garden leave must be explicitly provided for in your contract to be lawful. If your contract does not include a garden leave clause, your employer must either let you work your notice or pay you in lieu.

Payment in lieu of notice (PILON)

Rather than requiring you to work your notice period, an employer can make a payment in lieu of notice (PILON) — a lump-sum payment equal to the salary you would have received during the notice period. Employers use PILON to end the employment relationship immediately, typically where they want you to leave the premises quickly or where working the notice period would be commercially disruptive.

Since April 2018, all PILON payments are treated as earnings by HMRC and are subject to income tax and National Insurance. This is true whether or not your contract contains a PILON clause. You cannot claim the £30,000 redundancy tax exemption against a PILON payment.

PILON covers your basic salary only unless your contract specifies otherwise. It does not usually cover bonus, commission, or benefits in kind unless these form part of your regular contractual entitlement and the contract explicitly includes them in PILON.

Wrongful dismissal — when your employer ignores notice

If your employer dismisses you without giving the correct notice and without paying PILON, you have been wrongfully dismissed. Wrongful dismissal is a contractual claim — it is about your employer breaking the contract, not about the fairness of the dismissal decision.

You can claim wrongful dismissal regardless of how long you have worked for the employer (unlike unfair dismissal, which requires two years of service). The remedy is the pay and benefits you would have received during the notice period you were denied.

Claims can be made either at an employment tribunal (capped at £25,000) or in the civil courts (where there is no cap, making it preferable for senior employees on high salaries with long notice periods).

If you believe you have been wrongfully dismissed, contact ACAS for free early conciliation before making a tribunal claim.

Frequently asked questions

What is the statutory minimum notice in the UK?

Under the Employment Rights Act 1996 s.86, you are entitled to: one week's notice if you have worked for 1 month to 2 years; one week per full year of service if you have worked for 2 to 12 years; and a maximum of 12 weeks' notice if you have worked for 12 or more years. These are the legal minimums — your contract may provide more.

What happens if my employer does not give me proper notice?

If your employer fails to give the correct notice and does not pay you in lieu, you can bring a wrongful dismissal claim. This is a contractual claim, not the same as unfair dismissal, and can be made regardless of how long you have worked there. The compensation is the pay you would have received during the missing notice period.

What is garden leave?

Garden leave (or gardening leave) is when your employer asks you not to come into work during your notice period but continues to pay your full salary and benefits. You remain employed and bound by any restrictive covenants in your contract. Employers use it to protect confidential information and client relationships.

Is payment in lieu of notice (PILON) taxable?

Yes, always. Since April 2018, HMRC treats all PILON as earnings regardless of what your contract says. It is subject to income tax and National Insurance contributions in full, even if the first £30,000 of any additional redundancy package is tax-free.

Do I have to give notice when I resign?

Legally, you must give your employer at least one week's notice if you have been employed for one month or more (ERA 1996 s.86(2)). Your contract will usually require longer notice — typically one month, or more for senior roles. Failing to give proper notice is a breach of contract, though enforcement is rare for junior employees.

Can my employer give me zero notice?

Yes, but only in very limited circumstances. Summary dismissal without any notice is only lawful for gross misconduct — for example, theft, physical assault, or serious breach of confidentiality. Ordinary poor performance or redundancy requires proper notice or PILON.

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