PBIK becomes mandatory from April 2027. Find out what payrolling benefits in kind means for employers, payroll teams and P11D reporting.

The UK government has announced that employers will no longer be required to provide more detailed employee hours data through Pay As You Earn (PAYE) Real Time Information (RTI) returns from April 2026. This decision follows feedback from businesses, which highlighted the potential administrative burden of the proposed changes.

As we move through 2025, employers need to prepare for updates to statutory rates that impact key areas such as parental leave, sick pay, and redundancy calculations.  

HM Treasury has recently consulted on changes to Statutory Payment policies that will impact payroll software and employer reimbursements. These changes are set to take effect from 6 April 2025 and will bring significant updates to the compensation rates for various statutory payments.