Home > Legal Updates > CHANGES TO THE LAW ON TIPPING

CHANGES TO THE LAW ON TIPPING

On 24 September 2021 the Government announced that there would be changes to the current laws on staff tips based on its findings from the Consultation on Tipping, Gratuities, Cover and Service Charges in 2016 (All tips to go to staff under government plans to enhance rights of 2 million workers – GOV.UK (www.gov.uk). When the legislation comes into force businesses will no longer be able to take any part of the tips (or service charges) given to staff. A change in the rules has become more urgent after the pandemic spurred a switch to cashless payment with 80% of all UK tipping now happening by card, making it easier for businesses to keep funds. Read more…