Statutory pay is a legal right for umbrella contractors. Your PAYE umbrella company is your employer. It’s responsible for processing SSP, SMP, SPP, and SAP. These rights apply from day one of your assignment under the Employment Rights Act 2025.
Does an umbrella company pay statutory sick pay?
Yes. Your umbrella company pays Statutory Sick Pay if you’re too ill to work. For 2026-27, SSP is £123.25 per week. You need to earn at least £129 per week on average (the Lower Earnings Limit) to qualify. SSP is payable from day four of your illness, for up to 28 weeks.
SSP replaces your assignment income while you’re off sick. It’s paid through your umbrella’s payroll in the same way as your normal pay. You’ll see it on your payslip as a separate line.
To qualify, you must tell your umbrella you’re ill within the required timeframe. Ask your umbrella for its notification procedure before you need it.
What is the SSP weekly rate for 2026-27?
The SSP rate from 6 April 2026 is £123.25 per week. This applies if your average weekly earnings are £129 or above. If you earn less than £129 per week on average, you don’t qualify for SSP.
SSP is subject to income tax and National Insurance. See the umbrella contractor pay and tax guide for how deductions work on statutory payments.
Does an umbrella company pay statutory maternity pay?
Yes. Umbrella contractors who qualify get Statutory Maternity Pay through their umbrella. For 2026-27, SMP pays 90% of your average weekly earnings for the first six weeks. The remaining 33 weeks pay at £194.32 per week or 90% of average weekly earnings, whichever is lower. SMP lasts up to 39 weeks in total.
To qualify, work continuously for your umbrella for at least 26 weeks. The qualifying week is the 15th week before your baby is due. Your average weekly earnings must also be at or above the LEL of £129.
Give your umbrella at least 28 days’ notice before your maternity leave starts. Provide your MATB1 certificate as confirmation of your due date.
What is the SMP rate for 2026-27?
| Period | Rate |
|---|---|
| Weeks 1 to 6 | 90% of average weekly earnings |
| Weeks 7 to 39 | £194.32/week or 90% AWE (lower applies) |
Your umbrella pays SMP through its payroll. It then reclaims most of this cost from HMRC. The payment to you is unaffected by this process.
Does an umbrella company pay statutory paternity pay?
Yes. If you qualify, your umbrella pays Statutory Paternity Pay at £194.32 per week or 90% of your average weekly earnings, whichever is lower. SPP covers up to two weeks. You can take it as one week or two consecutive weeks within 56 days of your child’s birth or placement.
To qualify, work continuously for your umbrella for at least 26 weeks. The qualifying week is the 15th week before the expected due date. You must also be the biological father, adopter, or the mother’s partner.
Give your umbrella at least 28 days’ notice before you want SPP to start.
Does an umbrella company pay statutory adoption pay?
Yes. SAP follows the same structure as SMP. For 2026-27, the first six weeks pay at 90% of average weekly earnings. The remaining 33 weeks pay at £194.32 per week or 90% AWE, whichever is lower. SAP covers up to 39 weeks for eligible contractors.
Eligibility follows the same continuous employment and earnings rules as SMP. Notify your umbrella as soon as you get your adoption match notification.
What are your day-one statutory rights?
The Employment Rights Act 2025 gives you protections from day one. These apply from the first day of your umbrella engagement. You’re entitled to a written statement of employment terms on day one. Zero-hours protections also apply where relevant.
For a full overview of contractor protections, read umbrella contractor rights.
How does the Fair Work Agency affect statutory pay enforcement?
The Fair Work Agency launched on 7 April 2026. It enforces employment rights, including statutory pay obligations. Formal enforcement activity is expected from 2027. Your umbrella must pay statutory entitlements correctly or face FWA action.
DASA holds dual accreditation from FCSA and Professional Passport. Both bodies require verified payroll compliance. Your statutory pay is processed correctly and on time.
What about holiday pay during statutory leave?
Your contractual holiday pay entitlement continues to accrue during statutory leave periods. Check umbrella company holiday pay explained for how DASA handles accrual and rollover.
How does DASA process statutory pay claims?
DASA Umbrella processes all statutory pay through its fully compliant PAYE payroll. All payments appear clearly on your payslip. DASA holds dual accreditation from FCSA and Professional Passport. Both bodies independently audit its statutory pay processes.
If you need to make a claim, contact DASA directly. Have your relevant dates and documentation ready. DASA handles the HMRC reclaim process. You don’t need to do anything beyond notifying DASA and providing the required evidence.
Use our calculator to calculate umbrella take-home pay during statutory leave. Contact DASA Umbrella to start your claim.
FAQ
Does an umbrella company pay Statutory Sick Pay?
Yes. Your umbrella company is your employer and must pay SSP if you qualify. The 2026-27 rate is £123.25 per week from day four of your illness.
What is the Statutory Maternity Pay rate for 2026-27?
SMP pays 90% of your average weekly earnings for the first six weeks. For the remaining 33 weeks it pays £194.32 per week or 90% of AWE, whichever is lower.
What is the Statutory Paternity Pay rate for 2026-27?
SPP is £194.32 per week or 90% of average weekly earnings, whichever is lower. It covers up to two weeks.
Am I eligible for SMP through an umbrella company?
Yes, if you’ve worked continuously for your umbrella for at least 26 weeks by the 15th week before your due date and earn at or above the £129 per week Lower Earnings Limit.
Does the Fair Work Agency cover umbrella company statutory pay?
Yes. The FWA, launched April 2026, enforces statutory pay obligations. Umbrella companies that fail to pay SSP, SMP, SPP or SAP correctly face FWA enforcement action.
