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United Kingdom

Fair Work Agency under ERA 2025: establishment, remit, and enforcement of NMW, LME orders, SSP, holiday pay, agency regulation, gangmasters licensing, modern slavery offences, and unpaid employment tribunal awards

Practice notes
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This Practice Note explores the remit, establishment and duties of the (FWA). Its remit spans: enforcing national minimum wage rules; the framework of labour market enforcement undertakings and orders; offences under the Modern Slavery Act 2015 (MSA 2015); the licensing system for gangmasters and inquiries into labour market exploitation; together with enforcing the Employment Agencies Act 1973 (EAA 1973) and enforcing unpaid employment tribunal awards. Plans also envisage broadening the FWA’s role to cover enforcement of statutory sick pay and holiday pay.

Scope of the FWA

The FWA operates as an Executive Agency within the Department for Business and Trade (DBT), formed through administrative means. Lacking separate legal personality, the Employment Rights Act 2025 (ERA 2025), which created it, confers on the Secretary of State a suite of powers to uphold specified employment legislation. In practice, these powers are exercised via the FWA, including by enforcement officers appointed by the Secretary of State. The statutory foundation for the FWA sits in ERA 2025, ss 90–151, and Sch 7, 8, 10, 11, the relevant provisions commencing on 7 April 2026. They provide for the establishment of the FWA by...

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Web page updated on 22/05/2026

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