Redundancy Letter UK: What It Should Say and What to Check
Had a redundancy letter? Here's what a UK letter from your employer should cover, from selection and consultation to notice, redundancy pay, holiday, alternative jobs and your right to appeal. Plus two short templates to accept voluntary redundancy or ask for a breakdown.
By Tony Musso on
A redundancy letter is the document that turns a hard conversation into something you can check. It confirms that your job is ending, why, when, and what you'll be paid. Most people skim it once and file it away. It's worth a slower second read, because mistakes are far easier to fix before your last day than after it.
This guide explains what a UK redundancy letter from an employer should cover, what to check line by line, and how to reply. There are two short templates at the end: one for accepting voluntary redundancy and one for asking for a written breakdown of your pay. It covers England, Scotland and Wales; Northern Ireland has its own employment law and some rules differ. This is general information, not legal advice. Check GOV.UK or Acas before acting, especially as the Employment Rights Act 2025 is changing some rules in phases.
What a redundancy letter is (and isn't)
There's no single legal format for a redundancy letter. Some employers send an "at risk" letter when consultation starts and a second letter confirming dismissal at the end. The confirmation letter matters most, because it fixes your leaving date and your pay.
A genuine redundancy happens when an employer needs fewer people for a particular kind of work, or closes a workplace or the business. If your role is being filled by someone else straight away, that's worth questioning. Our overview of UK employment law explains the wider rights around dismissal.
What the letter should contain
A clear redundancy letter usually covers the following. If something is missing, ask for it in writing.
| Item | What to look for |
|---|---|
| The reason | Why the role is redundant, in plain terms, not just "business needs" |
| Selection | How you were chosen, if others in a similar role weren't, and the criteria used |
| Consultation | What was discussed with you, and when |
| Notice | Your notice period, whether you'll work it, and your final day |
| Statutory redundancy pay | The amount, if you qualify |
| Enhanced redundancy pay | Any extra amount from a company scheme |
| Holiday | Untaken holiday you'll be paid for, or are expected to take |
| Alternative work | Any suitable vacancies, and the trial period |
| Appeal | How to appeal, who to send it to and the deadline |
Reason and selection
The letter should tell you why your role is going. If you were picked from a group, it should name the criteria used, which should be objective and applied consistently. Selection can't be based on a protected characteristic such as age, sex, race, disability or pregnancy, and some reasons for selection are automatically unfair, including whistleblowing and trade union activity. You're entitled to ask to see your own scores.
Consultation
Employers should consult the people affected before making a final decision. That means a real discussion about the reasons, the selection and whether redundancy can be avoided. When an employer plans larger-scale redundancies, extra collective consultation rules apply, involving a trade union or elected representatives. Acas explains when those rules start and how long consultation must last.
Notice and your leaving date
You're entitled to your contractual notice or the statutory minimum, whichever is longer. Statutory notice from an employer is one week once you've worked there for a month, rising by a week for each complete year of service up to 12 weeks. The letter should say whether you'll work your notice, be put on garden leave or receive pay in lieu of notice. Our guide to notice periods in the UK shows how to count your last day.
Statutory and enhanced redundancy pay
You usually qualify for statutory redundancy pay once you've been an employee for two years or more without a break. It's worked out from your age, length of service (up to 20 years) and weekly pay, which is capped at a figure that's updated each year. GOV.UK has a calculator, so you can check the number in your letter yourself.
Some employers pay more than the legal minimum through an enhanced scheme in your contract, staff handbook or a collective agreement. If you've been told about one, the letter should show both figures separately. Redundancy pay up to a set limit is usually tax-free, but notice pay and holiday pay are taxed as normal earnings, so it helps to see each part listed on its own.
Holiday
You should be paid for statutory holiday you've built up but not taken by your leaving date, unless you're asked to use some of it during your notice.
Suitable alternative employment and the trial period
Before confirming redundancy, your employer should look at whether there's another suitable job you could do. If you're offered one and it's different from your old role, you're entitled to a four-week trial period to see if it works. If it isn't suitable and you leave for that reason during the trial, you should keep your right to redundancy pay. Turning down a suitable offer without a good reason can mean losing statutory redundancy pay, so think carefully and put your reasons in writing. People who are pregnant or on family leave have extra protection here, including priority for suitable vacancies.
Time off to look for work
If you have two years' continuous service and you've been given notice of redundancy, you're entitled to reasonable paid time off to look for a new job or arrange training. There's a limit on how much of that time your employer must pay for, which GOV.UK explains. Ask early, and keep your request in writing.
Right to appeal
Many employers offer a right of appeal against selection or dismissal, and Acas recommends it as good practice. The letter should say who to appeal to and the deadline. If you think the selection was unfair or the process was rushed, our redundancy appeal letter tool helps you set out your points clearly.
What to check when you receive one
Read the letter with your contract, payslips and consultation notes beside you. Then check:
- Dates. Is your continuous start date right? A wrong start date can cut years off your redundancy pay.
- Weekly pay. Does it reflect your normal pay, including regular overtime or allowances where they apply?
- Notice. Is it at least the longer of your contractual and statutory notice?
- Holiday. Does the number of days match your own records?
- Enhanced terms. If a scheme was promised, is it included and calculated as described?
- Deadlines. When must you appeal, accept an offer or return any company property?
If you're asked to sign a settlement agreement, you'll be giving up the right to bring certain claims. You must get independent legal advice for it to be valid, and employers often contribute towards the cost.
Template: accepting voluntary redundancy
Dear [Manager's name], Thank you for the offer of voluntary redundancy dated [date]. I'm writing to confirm that I accept it on the terms set out in your letter. Please could you confirm my final working day, my notice arrangements, and the date I'll receive my final pay, redundancy pay and any holiday pay owed. Kind regards, [Your name]
Template: asking for a written breakdown
Dear [Manager's name], Thank you for your letter of [date] confirming my redundancy. To help me check the figures, please could you send me a written breakdown showing: - my continuous employment start date and length of service - the weekly pay figure used and how it was calculated - my statutory redundancy pay and any enhanced redundancy pay, shown separately - notice pay, and whether it's being paid in lieu - the number of holiday days I'll be paid for I'd appreciate a reply by [date], as my appeal deadline is [date]. Kind regards, [Your name]
Keep copies of everything. For other letters, such as a grievance, see our work letter templates.
After the letter
Once the figures are settled, look ahead. Update your CV while your recent achievements are fresh; our guide on how to write a CV walks you through it. If redundancy has made you wonder whether to try something different, our career change hub is a calm place to start.
Think your selection or process was unfair? Put your concerns in a clear, polite appeal before the deadline.
Write a redundancy appeal letter
Frequently asked questions
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