Government consults on reforms to equal pay law

Background

The government has launched a consultation on proposals to modernise the UK's equal pay and pay discrimination framework. The consultation forms part of the Plan to Make Work Pay and seeks to strengthen enforcement, improve pay transparency, and align aspects of the legal protection available for sex, race, and disability pay discrimination.

The proposals are intended to be introduced in two phases. The first would focus on improving the operation of the existing framework, while the second would seek to address differences between equal pay claims and race and disability pay discrimination claims.

Key proposals

The consultation includes a wide range of proposals, including:

• Introducing greater pay transparency, including requiring employers to provide pay information during recruitment;

• Establishing a new Equal Pay Regulatory and Enforcement Unit;

• Widening the circumstances in which employment tribunals can order equal pay audits;

• Allowing race and disability pay discrimination claims to benefit from some of the remedies and mechanisms currently available only in equal pay claims; and

• Introducing a new duty on parties to certain outsourcing arrangements to take reasonable steps to uphold pay equality.

The consultation closes on 27 October 2026.

Learning points

The proposals remain at the consultation stage, and no legislative changes have yet been made. However, they signal the government's intention to strengthen enforcement of pay equality and to narrow the gap between the current equal pay and pay discrimination regimes.

Given the breadth of the proposals, employers may wish to monitor the consultation closely, particularly if they are already reviewing their approach to pay transparency, pay audits or outsourced services.

For more information or advice, please get in touch with Alice Mennell in our Employment team.