Redundancy pay cap: weekly limit explained

For statutory redundancy, weekly pay can be capped even if you earn more. In this site, the cap is set to GBP 719 for redundancies on or after 6 April 2025 and is stored in calculator settings so it can be updated when rules change.

Example with cap applied

If your statutory weeks entitlement is 12 and your actual weekly pay is GBP 900, the statutory calculation uses GBP 719. Result: 12 x GBP 719 = GBP 8,628 (not GBP 10,800).

Why the cap matters

The cap can change, usually each April. That means the same service history could produce a different statutory figure in another year. Always confirm which cap date applies to your redundancy date.

Use the calculator to see where capping affects your estimate.