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Unfair Dismissal: Compensation

Asked by Andrew GriffithConservativeDepartment for Business and TradeTabled Answered 18 December 2025UIN 100123

The question

To ask the Secretary of State for Business and Trade, what assessment he has made of the cost to the a) private sector and b) public sector of abolishing the caps on unfair dismissal compensation claims.

Answered by Kate Dearden

The Government will be publishing an Enactment Impact Assessment on the impacts of the Employment Rights Act. This will include an assessment of the removal of the compensation cap for unfair dismissal on different sectors. This assessment can be found here when published: Employment Rights Bill: impact assessments - GOV.UK.

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