Hudson Legel Round Up Hero

New super-quango gets £60m to enforce Labour’s ‘Plan to Make Work Pay’

13th May 2026 | Hudson Contract

The new super-quango charged with enforcing Labour’s so-called ‘Plan to Make Work Pay’ has been handed a bumper budget boost to kick off its clampdown on business.

Led by former Environment Agency veteran Lisa Pinney MBE, the Fair Work Agency has been allocated taxpayer funds totalling £60.1m this year, representing a hefty 26 per cent increase on the combined budget of its predecessor bodies. 

The agency is responsible for policing agency regulations, gangmasters licensing, serious labour abuse, including modern slavery, and, from next year, the national minimum wage with officials being granted real-time access to HMRC systems. 

The government has told the quango to deepen engagement with trade unions and look at ways to expand its remit. The agency will also have the power to bring employment tribunal claims on behalf of individuals.

The tribunal system is already struggling under the weight of existing claims. 

Latest official statistics show the number of single employment tribunal claims increased by 54 per cent in the third quarter compared to the same period a year ago, while the number of cases resolved fell by 34 per cent.

Open caseload grew by 49 per cent over the same period, as receipts outweighed disposals throughout the year.

The growing backlog means that cases are now being scheduled for 2028, according to legal advisors. 

Hudson managing director Ian Anfield said: “The tribunal system is already flooded with spurious claims. 

“Once the Employment Rights Act is fully in force, firms could find themselves arguing about events that happened three years ago.

“For Hudson clients, the saving grace is that we step in and deal with these claims on their behalf.”

Employers face a separate but equally unwelcome challenge with the new right of trade unions to demand weekly access to workplaces with fines for breaches rising to as much as £500,000. 

In the official consultation, 96 per cent of respondents thought weekly visits would be “impractical and disproportionate”, but Labour ministers are pressing ahead regardless. 

Hudson has developed a robust response to support clients in the event of such requests.

Sign up for our newsletter

Latest news, views and statistics delivered direct to your inbox

Please select the subjects you are interested in: