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Published: 7-Apr-26 | By APSCo
Political Monitor | April 7th Edition
I hope everyone enjoyed the Easter weekend, and I’m sure many of you are still enjoying well-earned breaks. The Easter Weekend brought in the first main tranche of Employment Rights Act changes, and the Fair Work Agency launches today. In addition, of course the new tax year has brought into force the umbrella supply chain reforms.
More broadly, the Iran War and the closure of the Strait of Hormuz continue to drive the news agenda, with concerns extending beyond oil and gas to global food shortages and attacks on Iranian civilian infrastructure. Oil prices continue to jump, and markets ricochet from President Trump’s announcements. The IMF and OECD have both warned that the UK is especially exposed due to high inflation exposure and reliance on fuel imports. Rachel Reeves has announced additional means-tested support for energy bills later in the year.
Starmer is faced with another junior doctors’ strike today as he looks to focus media attention on new measures to improve opportunity and the cost of living. Measures that have come into force include increased pension payments, scrapping of the two-child benefit cap, the rolling out of improved youth services in Youth Hubs and the much-debated reduction in ill-health payments for new (not existing) Universal Credit claimants, alongside support to get people back into work.
The Conservatives are focused on more support for capping energy costs and reducing levies on fuel and energy. Reform continues to call for lower taxation, whilst Liberal Democrats argue the biggest lever on prices is a reset of the relationship with the EU. The Green Party calls for public ownership of energy and water.
APSCo News
It’s not too late to register for the online meeting with the Department for Business and Trade (DBT) on the consultation on the Conduct Regulations on 9th April. We will then prepare a draft response which we will circulate for input to those that attend this meeting and the one held in late February. Read our Press Release on the launch of the Fair Work Agency and ERA changes here.
We have submitted a response to the Call for Evidence from the DBT Select Committee on Artificial Intelligence, Business and the Future of the Workforce. Read our article published in the Global Recruiter here on the AI Recruitment Transformation.
DBT is keen to hear how business is fairing given the current economic challenges, the Middle East War and new regulations – contact tania.bowers@aspco.org if you would like to make sure your views are represented.
Parliament, Employment Rights Act & Staffing Sector Regulation
Employment Rights Act and Sector Regulations
The Fair Work Agency (FWA) launches today with updated contact details – so update your Key Information Documents. You can find the new contact details here.
Yesterday, 6th April, saw the first major tranche of changes brought in by the Employment Rights Act, including day one statutory sick pay and paternity rights and the introduction of the umbrella company tax reforms, bringing in supply chain strict liability.
Higher National Minimum Wage rates are also now in force.
Find information on our legal pages.
Parliament and Consultations
As part of their AI and biometrics strategy published in June 2025, the ICO issued its latest review on AI and Recruitment on 31st March, focusing on Automated Decision Making (ADM) in the hiring process.
This is accompanied by a consultation which is open until 29th May.
ICO consultation on the draft guidance about automated decision-making, including profiling | ICO
Get in touch if you want to be involved in APSCo’s response to tania.bowers@apsco.org.
Other Announcements & Publications
Skills
Apprenticeship Units
From April 2026, government are launching the first apprenticeship units.
For the first time, employers will be able to use levy funding for training that is not an apprenticeship.
The first new apprenticeship units being released focus on priority sectors and allow employers to upskill their workforces quickly and flexibly.
The first seven are:
- AI Leadership – developing AI strategy
- Electric vehicle charging point installation and maintenance
- Electrical fitting and assembly
- Mechanical fitting and assembly
- Permanent modular building assembly
- Solar PV installation and maintenance
- Welding - mechanised
Skills England identified these units based on evidence of skills gaps and employer need. They target immediate shortages in areas that will drive productivity and growth.
There are other changes downstream, particularly in August 2026, when the period employers have to spend their levy pots will reduce from 2 years to 1 year.
Bookmark and read more about the changes in Skills England’s Employer page.
The Institute for the Future of Work have co launched a report with the CIPD, which aligns well with our AI Recruitment Transformation white papers. Both highlight the importance of organisational transformation and workforce upskilling and engagement.
Economic Growth
Tackling Late Payments: The Government has published its response to its consultation on payment practices. Measures include 60 day maximum payment terms (with exclusions where both companies are large) and the requirement for boards of large companies to address and report on late payment.
This is in tandem with the launch of the Small and Medium Business Hub - GOV.UK and focus on public sector strategies for increasing SME spend.
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