Government backs new reforms making it unlawful for employers to withhold tips from staff.

• New legislation to make it unlawful for employers to withhold tips from staff
• it means customers will know for certain that all tips will go to hard-working employees, who will take home more money
• the Tipping Bill will benefit more than 2 million workers and, for the first time, will give them the right to see an employer’s tipping record

Millions of UK workers will be able take home more of their hard-earned cash under new legislation, backed by the government today (Friday 15 July), banning employers from withholding tips from their staff.

Despite most hospitality workers – many of whom are earning the National Minimum Wage - relying on tips to top up their pay, there are still sadly too many businesses who shamefully fail to pass on service charges from customers to their staff.

The Employment (Allocation of Tips) Bill, introduced by Dean Russell MP and backed by the government, will ensure that all tips go to staff by making it unlawful for businesses to hold back well-earned service charges from their employees.

This overhaul of tipping practices is set to benefit more than 2 million UK workers across the hospitality, leisure and services sectors – who tend to reply on tips the most – and will help to ease pressures caused by global inflation and an increase to the cost of living.

Business Minister Jane Hunt said:

At a time when people are feeling the squeeze with rising...

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