How much redundancy pay will I get in the UK?
“How much redundancy pay will I get?” is really four questions: am I eligible, which jurisdiction applies, what inputs are correct, and is anything enhanced beyond statute? Work them in order.
Step 1 — Eligibility
Usually two complete years’ continuous service and a redundancy dismissal. Settlement agreements and unfair dismissal claims sit beside, not inside, pure statutory math.
Step 2 — Inputs
Collect date of birth, start date, redundancy date, and gross weekly pay as defined for statutory purposes. Small date errors change age bands year-by-year in the GB method.
Step 3 — Statutory estimate
Run the calculator, compare with GOV.UK, and ask HR for their worksheet. If you are in Ireland, switch mode or use the Ireland tool.
Step 4 — Read the whole package
Notice pay, holiday, bonuses, share schemes, and outplacement may dwarf statutory redundancy. See notice vs redundancy.
Step 5 — Decide whether to negotiate
If the employer offers only statute, compare with any handbook policy. If figures look wrong, dispute inputs first, then seek advice — especially before signing a waiver.
Official sources to keep open
Bookmark the primary official pages for your jurisdiction and re-check them whenever caps or bands change. Calculator sites (including this one) lag legislation if maintainers miss an update.
- GOV.UK — redundant employee rights
- GOV.UK — redundancy pay calculator
- Citizens Information — redundancy (Ireland)
- GOV.UK — Stamp Duty Land Tax
- Revenue.ie
Disclaimer
This article is general information for consumers in the UK and Ireland. It is not legal or tax advice and is not a substitute for advice on your facts. See our Disclaimer.
Inputs people get wrong
Weekly pay
Use the gross weekly figure appropriate for statutory redundancy, not take-home pay and not an inflated figure that includes unreplicable overtime unless the statutory definition allows it.
Dates
Date of birth errors shift age bands. Start-date errors change complete years. End-date errors change both service and which annual cap table applies.
Partial years
Incomplete years generally do not count as a further complete year in the GB statutory method. Do not round up out of optimism.
Common mistakes
- Using today’s cap for a redundancy date in a previous limits year.
- Ignoring Northern Ireland or Ireland when the contract is not GB English/Welsh/Scottish.
- Treating a calculator output as a binding legal determination.
- Forgetting notice pay, holiday, and enhanced policy lines on the settlement statement.
- Entering net pay instead of the gross weekly figure the statute expects.
- Skipping the official GOV.UK or MyWelfare cross-check before challenging HR.
When to get personal advice
Seek tailored advice if you face discrimination issues, pregnancy or disability-related redundancy selection concerns, unpaid wages, insolvency, or pressure to sign a settlement agreement quickly. Free first-line help may be available from Citizens Advice (UK) or Citizens Information (Ireland); a solicitor or union can advise on your documents.
Keep copies of your contract, handbook redundancy policy, payslips covering the reference period, and every email about the consultation process. Those documents matter more than any blog article when numbers are disputed.