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🔶 Zero-Hours Guaranteed Contract Obligation — also enforced from April 7. After 12 weeks, you may be legally required to offer fixed contracts to casual staff. 1.3M workers. Near-zero awareness. See details below ↓
Walk-in inspection powers. 200% NMW penalties. And the zero-hours obligation almost nobody is talking about.
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The Guardian published data this morning: 4 hospitality businesses close every day in the UK. Hotels are absorbing an extra £28,900/year in new costs — a 30% rise. Restaurants face an additional £1,800/year. On top of the cost crisis, the Fair Work Agency launches April 7 with walk-in inspection powers and a 200% NMW penalty. A compliance fine on top of rising costs isn't just expensive. For a business already operating on the edge, it could be the end.
⚡ Action now: Audit your payroll now. Check NLW rates (£12.71/hr main, £10.85/hr 18-20, £11.10/day accommodation offset), holiday pay records, and zero-hours arrangements before the FWA launches.
Source: The Guardian / NIQ Hospitality Market Monitor — 30 March 2026
A new enforcement body launches April 7. They can enter your premises without warning and inspect documents on the spot. 200% NMW penalty — that's £3 back for every £1 owed. Hospitality is the primary target sector. Most operators have never heard of it.
⚡ Action now: Audit your payroll today. Check NLW rates (£12.71/hr main, £10.85/hr 18-20, £11.10/day accommodation offset), holiday pay records, and SSP calculations. The FWA can look back years.
Source: gov.uk/government/organisations/fair-work-agency
The ERA 2025 introduces a mandatory Guaranteed Hours Contract obligation — triggered by a 12-week reference period. From April 7, the Fair Work Agency has walk-in powers to enforce it with no complaint required. With 1.3M zero-hours workers in hospitality, most operators don't know they could be legally required to offer guaranteed contracts to their casual staff.
⚡ Action now: Audit your zero-hours workers now. Calculate the 12-week reference period for each worker. Seek advice before April 7.
From April 1, pubs receive a 15% business rates discount under new government relief. But here's the catch: restaurants and hotels get zero relief. And some councils require an active application — it won't be applied automatically. If you run a pub, check with your local council before your next rates bill.
Action: Contact your local council business rates team today. Request the pub rates relief if not yet applied. Check the VOA portal for your updated rateable value.
Check your rates eligibility →HSE prosecuted a Rotherham employer today (30 March 2026) for failing to conduct a separate young persons risk assessment for a 17-year-old apprentice. Standard H&S assessments don't cover young workers under the Young Persons Regulations. Any employer with apprentices or under-18s is at risk.
Download young person risk assessment template →From April 1 2026, ALL businesses in England — including micro and small businesses — must segregate food waste. You must use a licensed food waste collector (not general bins), keep records of all collections, and appoint a "Waste Captain" internally. The Environment Agency is the enforcement body. Fines of up to £20,000+ apply. Ignoring an enforcement notice is a criminal offence. Near-zero awareness among hospitality operators.
Action: Appoint a Waste Captain now. Contact a licensed food waste collector before April 1. Begin keeping collection records.
Source: gov.uk/guidance/simpler-recycling-workplace-recycling-in-england
Get compliance alerts — so you don't miss the next one →Unfair dismissal cap rises to £123,543 from April 6. Discrimination awards (Vento bands) up to £62,900+ — and sexual harassment is now whistleblowing-protected. From January 2027: the unfair dismissal cap is removed entirely. Is your business protected?
Action: Review your dismissal procedures, discrimination policies, and disciplinary processes before April 6.
Check your tribunal exposure →The Retail, Hospitality and Leisure relief (worth up to £110,000/year) ends April 1. Combined with a ~30% rateable value uplift from the VOA revaluation, some hospitality businesses will see bills up 70–100% overnight.
Action: Check your new rateable value at the VOA portal. Review your April rates bill. Budget for the full new amount — no transitional relief for hospitality.
Source: HM Treasury / Valuation Office Agency, March 2026
Check your new rates bill →Two major cost hits on the same day. National Living Wage rises to £12.71/hr AND the 40% RHL business rates relief is abolished. A typical restaurant will see labour costs and rates bills rise simultaneously. Payroll must be updated before April 1.
Get April 1 checklist →The Fair Work Agency replaces HMRC as the enforcement body for National Minimum Wage, Statutory Sick Pay and holiday pay from April 7. It carries 200% penalty powers — that's £3 back for every £1 owed. Hospitality is its primary target. Most owners have never heard of it.
See what changes April 7 →From 6 April 2026, failing to keep adequate holiday and holiday pay records becomes a criminal offence — with potentially unlimited fines. Published 27 March 2026. Near-zero employer awareness.
Alert me to this →SSP becomes payable from day one of illness — including zero-hours and casual staff with no minimum service threshold. Paternity leave is a day-one right. Holiday pay records are now mandatory for all workers. Three compliance changes in one day.
See what to update →From April 6, the protective award for failing to consult on collective redundancy doubles from 90 to 180 days' gross pay per employee. Any hospitality employer with 20+ staff planning closures, restructuring, or seasonal wind-downs after April 6 faces doubled tribunal exposure. Are you covered?
Review your redundancy obligations →The Fair Work Agency launches April 7, replacing HMRC for NMW enforcement. Hospitality is their explicitly stated primary target. Powers: workplace inspections, 200% penalty on underpayments + repayment of arrears, public naming and shaming, and legal proceedings on behalf of workers. If you pay any staff the wrong rate from April 1 — the accommodation offset (£11.10/day), the 18-20 rate (£10.85/hr), or the main NLW (£12.71/hr) — the FWA is the agency that will come.
Stay ahead of enforcement changes — get daily alerts from ComplianceAlert →From October 1 2026, Phase 2 of the Employment (Allocation of Tips) Act 2023 comes into force. All hospitality businesses must: have a formal written tipping policy; have genuinely consulted staff before implementing it; review the policy every 3 years with documented staff feedback; and retain tipping records for 3 years (workers can request them). No written policy = Employment Tribunal exposure. This applies to service charges and informal tipping arrangements — not just formal tronc schemes. Near-zero awareness among independent restaurants and pubs.
ComplianceAlert will alert you months before this deadline — not days before →The Employment (Allocation of Tips) Act requires a written tipping policy and fair allocation. Workers can claim back-payment for up to 12 months. The penalty is up to £5,000 per affected worker — and the Fair Work Agency launches April 7 to enforce it.
Review your tipping policy →Costa, Bupa, and Hays Travel are on the government's named and shamed list. £7.3m in arrears owed to 60,000 workers. The Fair Work Agency launches April 7 with walk-in powers to investigate your business. Is your payroll compliant?
Action: Audit every pay rate now. Check the accommodation offset (£11.10/day), the 18-20 rate (£10.85/hr), and split-shift calculations. One missed penny per hour across 10 staff = named and shamed.
Source: HMRC / Fair Work Agency — March 2026
Check your compliance → compliancealert.co.uk/compliance-scoreThe Terrorism (Protection of Premises) Act 2025 requires all venues with 200+ capacity — pubs, restaurants, hotels, event spaces — to appoint a responsible person, develop a terrorism preparedness procedure, and train staff. Compliance deadline: ~April 2027 (24-month implementation from Royal Assent April 2025). Regulator: SIA (new dedicated enforcement body). Near-zero SMB awareness. Most operators believe this isn't relevant yet.
Action: 12 months to implement properly — operators who wait until 2027 will be non-compliant on day one. Appoint your responsible person now.
Source: Terrorism (Protection of Premises) Act 2025 — Royal Assent April 2025
Check your compliance score →The FSA's "Future of Food Regulation" (announced March 2026) is bringing mandatory food hygiene rating display to England. Currently voluntary in England — already mandatory in Wales and Northern Ireland. When mandatory: both premises display and online display (Just Eat, Deliveroo, Google) will be required. Low-rated businesses (1–2 star) face immediate enforcement risk the moment the law commences. Consultation coming — act before the mandatory deadline.
Action: Check your current hygiene rating at ratings.food.gov.uk. If you are rated 1–2 star, request a re-inspection now — before the mandate.
Source: FSA Future of Food Regulation — March 2026
Get FSA alerts before the mandate →Hospitality has the highest regulation density of any SMB sector. These are the ones catching operators off guard right now.
HSE fined a Bolton bakery £16,667 in March 2026 after an employee fractured their hip falling from a pallet box while emptying food waste into a skip. Finding: no risk assessment, no safe equipment for working at height. Conduct a written risk assessment for all waste disposal involving height — skips, bins, compactors. Provide appropriate equipment. Document it.
HSE · March 2026 enforcement notice
Most pubs, restaurants and hotels run CCTV without knowing it triggers full ICO GDPR obligations — privacy notices, retention policies, staff training. ICO has been issuing fines to hospitality operators since 2024.
A common mistake: adding tips to reach the minimum wage. HMRC's NLW enforcement specifically targets hospitality. One audit letter means back-pay for every affected worker, plus penalties.
FSA hygiene ratings are now mandatory to display in Wales and Northern Ireland, and expected in England. A 1 or 2 star rating is visible to every customer on Just Eat, Deliveroo and Google. No appeal stops publication.
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NLW rises April 1. EPR packaging data due April 1. ERA 2025 rights live April 6. Start your free trial today and get ahead of every deadline before they hit.
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