UK businesses face longer uncertainty as tribunal time limit doubles

Businesses in the UK are preparing for a significant shift in employment law as the time limit for bringing claims to employment tribunals will double from three to six months starting October 1, 2026. This change, enacted through the Employment Rights Act 2025 and subsequent regulations, aims to provide both employees and employers with more time to resolve disputes internally or through the Acas early conciliation process.

Currently, most employment tribunal claims, including those related to dismissal, discrimination, and unlawful wage deductions, must be filed within three months of the alleged wrongdoing. A few specific claims, such as those for equal pay or statutory redundancy payments, already have a six-month limit. The new regulations will align the majority of claims with this longer period.

The extended time limit will generally apply to claims where the 'relevant date' – typically the date of the act or omission complained of, or the last in a series of such events – falls on or after October 1, 2026. For breach of contract claims in Scotland, the change takes effect on November 9, 2026. This means that employers may need to retain documentation and evidence for a considerably longer period.

This extension, combined with the increased Acas early conciliation period of 12 weeks (which took effect on December 1, 2025), means employers could face a prolonged period of uncertainty before knowing if a formal claim will be lodged. The government's intention is to encourage earlier resolution and potentially reduce the burden on tribunals, though it also means potential legal risks may remain live for longer.