There are a number of changes to generic business regulations that could affect your nursery business. These include:
Business rates
New legislation allows businesses to spread payment of this year's inflationary increase to business rates over three years. Currently business rates are adjusted every April in line with the Retail Prices Index for the previous September. Last September saw a spike in inflation of 5 per cent, which would have had an immediate impact on cash flow without the new measures.
Minimum paid leave entitlement
The statutory minimum paid leave entitlement has risen from 4.8 weeks to 5.6 weeks. For those working a five-day week this represents an increase from 24 to 28 days. Leave must be calculated proportionally depending on when the nursery leave year starts. Partial days may be rounded up, but not rounded down.
National minimum wage
Legislation to support the national minimum wage (NMW) has been strengthened. Employers who fail to pay entitled workers at least the NMW will be issued with a penalty of up to £5,000. HM Revenue and Customs compliance officers will have the powers to enter premises, carry out investigations and remove records. An interactive tool to check NMW entitlement is available on the businesslink website.
Disciplinary rules
The statutory dismissal and disciplinary procedures no longer apply in England, Scotland and Wales. Instead, a fair and reasonable procedure should be followed in line with the new Acas code of practice. Acas now provides the following:
- A revised statutory code of practice
- Revised non-statutory guidance
- A helpline service on 08457 474747
- A free early conciliation service.
For more information on the regulation changes visit www.businesslink.gov.uk
