The UK has introduced rules to ensure organisations treat people fairly, including workers, customers, and investors. For example, employers must treat employees fairly in how they manage and reward them. Big companies also have to publish pay specific gender pay gap data.

This factsheet looks at pay fairness, including equal pay and differences between high and low pay. It explains what companies have to report, including gender pay gaps, and shows how sharing pay stories can help employers prove they’re being fair.

Explore our stances on low pay and financial wellbeing and executive pay in more detail, along with actions for government and recommendations for employers.

Member tool: CIPD Buddy AI
Use AI to find trusted answers on our Knowledge hub. Start using CIPD Buddy

The Employment Rights Act 2025 will make it compulsory for employers with 250+ employees (so those employers already reporting gender pay gap statistics) to develop and publish equality action plans. This requirement is expected to come into force in 2027, with voluntary publication being encouraged from 6 April 2026. The Act also allows for regulations to be made to require that outsourced individuals be included in pay reports. It is expected that these regulations will be made in 2027.

The Equality (Race and Disability) Bill, if enacted, will also make ethnicity and disability pay reporting compulsory for employers with at least 250 employees. The Bill also proposed to extend the right to make equal pay claims based on race and disability status. Keep up to date with the latest on these changes with our tracker of potential law changes. 

This factsheet outlines the current requirements around pay reporting that can still be followed until any changes come into force. We will update this page once any changes are brought into force. 

Contents

To continue reading, log in or become a member

Affiliate membership offers instant access to CIPD resources without the need for assessments or study, or explore your options to become a professional member of the CIPD to demonstrate your commitment to the world of work.

  • Access to exclusive, up-to-date resources
  • Become part of a community to learn, debate and connect with other people professionals
  • Free access to a series of CIPD learning courses and a discount on the rest of our catalogue
Instant access Explore membership
  • Factsheet

    Redundancy: An introduction

    This factsheet outlines the main stages of a redundancy process and outlines how and why to use redundancy as a last resort when all alternative approaches have been considered

    For Members
    • Factsheets