09/02/2026

Great Britain

On 5 February 2026, in Great Britain the Government launched a Consultation Make Work Pay: Strengthening the Law on Tipping on new requirements to consult workers on tipping policies and the statutory Code of Practice on fair and transparent distribution of tips.

In Great Britain, the law on tips changed significantly in October 2024, when employers became legally required to ensure that all tips, gratuities and service charges are shared fairly and transparently, and that qualifying tips are passed on in full to workers. The aim was to make sure that money given by customers reaches the staff who earned it.

The GB Government is now going further. Under the Employment Rights Act 2025, employers in tipping industries will have a new duty to consult with workers when developing or revising their tipping policies. This is intended to strengthen worker voice, particularly in sectors where staff have traditionally had less influence over how tips are handled.

Alongside this, the Government is consulting on updates to the statutory Code of Practice on the fair and transparent distribution of tips, which supports both employers and workers in understanding and complying with the law. As part of this process, the Government is also seeking feedback on how the existing legislation and guidance have operated since coming into force.

Responses must be submitted by Wednesday 1 April 2026.

The position in Northern Ireland

The Department for the Economy in Northern Ireland has also confirmed that it intends to introduce primary legislation to ensure tips are distributed fairly to ensure that tips left for workers go to them in full. The Department’s proposals include:

• Payments for service that are controlled or significantly influenced by the employer must be passed to workers fairly and transparently, aside from lawful deductions.
• Record‑keeping duties, requiring employers to keep clear records of tips received and distributed. Workers will have a right to request access to these records.
• Statutory Code of Practice setting out principles of fairness and transparency in tip distribution.

These changes would bring Northern Ireland into line with the rules already in place in Great Britain, ahead of the further proposals outlined above coming into force.