Exit Cap Legislation - revoked
The Government has revoked the Exit Cap legislation with effect from 12 February 2021.
We can confirm that payment of benefits in the case of early retirements incurring “Strain Costs” to employers are no longer currently capped.
The government has stated it intends consulting on and subsequently re-introducing a cap from a future date. However, at this time, details of how the future cap will operate, as well as who it will apply to and when it will be introduced are unknown.
We will keep you updated on any future developments regarding this