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Year End 2025/2026 and New Tax Year Setup
We have made the required updates to support Year End 2025/2026, including changes to statutory rates and thresholds, and the addition of the 2026/2027 tax year.
These updates ensure that:
- Year End can be processed accurately.
- All statutory values are correctly set up for the new tax year.
- Payroll is ready for the first runs of 2026/2027.
Employment Rights Act – Statutory Sick Pay (SSP)
Statutory Sick Pay has been updated in line with the Employment Rights Act 2025. The system now supports the new SSP rules from 6th April 2026, including:
- Removal of waiting days, so SSP is paid from day one
- Removal of the Lower Earnings Limit (LEL) eligibility requirement
These changes apply automatically and ensure SSP is calculated in line with the new legislation.
Pension Payslip and YTD Reporting Improvements
This release improves how pension information is displayed on payslips and reported in Year‑To‑Date (YTD) totals.
Custom Pension Names on Payslips
A new Payslip Name setting allows payroll administrators to control how pension schemes are labelled on employee payslips.
Administration >> Pension Schemes >> Payroll Settings
When populated, this name replaces the default pension description across all pension‑related payslip lines (employee, employer and AVCs).
For example, if the Payslip Name is set to 'NEST Pension', then payslip entries will display:
| Previous Payslip Description | New Payslip Description |
| Pension Contribution (5% of £2000) |
NEST Pension (5% of £2000) |
|
Employer Pension Contribution |
NEST Pension Employer Contribution |
|
Employee AVC Contribution |
NEST Pension Employee AVC Contribution |
|
Employer AVC Contribution |
NEST Pension Employer AVC Contribution |
Note:
- This applies to newly generated pay runs only.
Employer Pension Contributions on Payslips
Employer pension contributions are no longer shown as a single aggregated value.
They are now displayed individually, matching the structure shown in the pay run. This improves visibility for employees and consistency with payroll reporting.
Salary Sacrifice in YTD Totals
The YTD section of the payslip has been updated to reflect standard pension reporting.
- Salary sacrifice pension amounts are now included within Employer Pension totals in YTD.
- Previously, these amounts were shown as employee deductions.
Important:
- This change affects YTD totals only. Individual payslip lines remain unchanged.
- This aligns with CIPP guidance that salary sacrifice pension contributions are employer contributions for reporting purposes.
Pension Export – Royal London
A new pension export is now available for customers using Royal London.
To enable this:
- Select Royal London from the available CSV Format options on the Pension Schemes screen
This provides a streamlined export tailored to Royal London’s requirements.
Deduction Enhancement – Deduct Outstanding Reducing Balance for Leavers
A new option has been added to Reducing Balance Deductions to improve leaver processing.
You can now choose to:
- Deduct the full outstanding balance when an employee is a leaver
- Rather than only deducting the amount that would normally apply for the period
This gives greater control and accuracy when finalising leaver payments.
BACS File Improvements – AEO and Building Society References
BACS payment files have been enhanced to include reference details where applicable.
For employees with:
- A Building Society Reference Number, or
- An Attachment of Earnings Order (AEO)
The reference is now included in the BACS file to ensure payments are:
- Correctly allocated
- Not delayed or rejected by banks or building societies
HR - UK Paternity Leave Entitlement Settings Update
To support the April 2026 legislative changes introduced by the Employment Rights Act 2025, the Paternity Leave entitlement settings have been updated for all customers.
When selecting a UK Paternity Leave plan:
- You will now see the updated rules
- The fields on the screen will reflect the new legislation
UI - Widget Header Migration
The new widget header style from the design system has now been applied to all widgets.
This ensures:
- A consistent look and feel across dashboards.
- Alignment with the updated Cezanne design system.
UI - Person Code Configuration on Person Header
The Person Code field in the Person Header is now configurable.
You can:
- Choose whether to Display Person Code from the Person Header configuration screen (Administration >> Company Settings >> Person Header).
If the Display Person Code option is enabled (ON by default):
- Line Managers and Self Service users will also see the Person Code in the Person Header.
