What’s changed?
From April 2026, the Employment Rights Act changed Statutory Sick Pay (SSP), meaning that eligible employees can now receive payments from their first full day of sickness absence, with the lower earnings limit removed.
For employers, this raises the stakes on absence management, payroll administration and workforce planning. At a time when cost pressures for many employers are already at a high, the changes mean short-term employee sickness absence could create an immediate cost impact.
Employers in the UK already face an estimated annual bill of £85bn in lost output and costs linked to ill health. With an estimated 150 million days lost annually, this also means disruption, reduced capacity and unplanned costs.
Amidst these cost pressures, there are ways that employers can support their teams’ health and wellbeing as well as their business performance and budget.
So how can a health care cash plan help?
While no employee benefit will completely eliminate sickness absence, a health care cash plan can help businesses take a more preventative approach.
By making routine health and wellbeing services more affordable, employers can help staff manage health concerns earlier, potentially resolving issues before they become more serious, costly and disruptive.
How Handy Health Cover supports employers and employees
Our employer-paid Handy Health Cover includes:
- Help with everyday health costs such as dental and optical and physio, making it easier for employees to stay on top of routine care
- Support for specialist treatment and health screening, which can encourage earlier intervention and faster access to care
- 24/7 GP access, helping employees get advice quickly at a time that suits them, potentially reducing delays in seeking support
- Mental health support with an optional Employee Assistance Programme, giving employees another route to practical and emotional support
For employers, the Employment Rights Act 2025 is another reminder that absence management cannot be treated as a payroll issue alone. A health care cash plan can form a valuable part of a broader strategy to help employees stay well, access support sooner and feel valued and cared for by their employer.
To support your team with Handy Health Cover, find out more at handyhealth.co.uk. Cover starts from £4.15, per employee, per month.*
*The price shown is per employee, per month when covering 700+ employees and applies where there is no existing health cover in place. If you have an existing employer paid cash plan with a different provider, please contact us for a quote
