What is changing for zero hours contracts, and when?

Last reviewed

Short answerNew law and what’s changing

The Employment Rights Act 2025 will give zero hours and low-hours workers rights to be offered hours reflecting those they regularly work, reasonable notice of shifts, and payment for shifts cancelled, moved or cut short at short notice. None of these rights is in force yet, and the government has not set a start date: timings will follow its consultation.

The three new rights

The rights are aimed at zero hours workers and workers whose contracted hours fall below a threshold to be set in regulations. They will extend to agency workers: hirers will make hours offers by default, and agencies will make short-notice payments and can recover them from hirers. Collective agreements with trade unions can set more tailored terms.

  • Hours offers: after each reference period, employers must offer qualifying workers a contract reflecting the hours they worked. Workers can turn the offer down and stay on their current arrangement
  • Reasonable notice: employers must give reasonable notice of shifts and of employer-initiated changes to shifts
  • Short-notice payments: employers must pay workers when they cancel, move or curtail a shift at short notice. No payment is due if the worker initiates the change

Details still to be decided

Key details will be set in regulations, including the length of reference periods, the hours threshold, how much notice is presumed reasonable, what counts as short notice and how much must be paid. The government consulted on these details from 2 June to 25 August 2026. GOV.UK says the timings will be updated following the consultation process, so employers should not assume a start date yet.

The law today

Exclusivity clauses in zero hours contracts are already unenforceable, so employers cannot stop these workers from working for someone else. GOV.UK's guidance says zero hours contracts may not suit work that is regular and predictable, and recommends giving as much notice as possible, avoiding last-minute cancellations and being clear about any compensation for cancelled work.

The law

“each time that the employer cancels, moves or curtails at short notice a qualifying shift…”

Employment Rights Act 2025, section 3

“prohibits the worker from doing work or performing services under another contract or under any other arrangement…”

Employment Rights Act 1996, section 27A

Sources

General information for employers in Great Britain, not legal advice. Check the official sources for your situation.

What employers can do

  • List everyone on zero hours or low-hours arrangements, including agency workers
  • Record the hours each person actually works so you can see who may qualify
  • Review how you schedule, change and cancel shifts
  • Remove any exclusivity clauses from zero hours contracts
  • Consider whether permanent part-time or annualised hours contracts would suit regular work better
  • Watch for the government's consultation response and confirmed start date
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