HR in 2026: What UK Employers Should Be Preparing for Now

Author – Phill Anderson

As we look ahead to 2026, it’s clear that HR is no longer just a support function. For UK businesses, it has become one of the most critical levers for stability, growth, and risk management.

Recent legislative change has only reinforced that shift. The introduction of the Employment Rights Act has increased expectations around fairness, transparency, and consistency in how employers manage their people. For many organisations, it has acted as a prompt to revisit policies, manager capability, and day-to-day people practices.

After many years working closely with leadership teams across sectors, one thing I see consistently is that most people-related challenges don’t appear overnight. They build gradually, through changes in legislation, shifts in employee expectations, and increasing pressure on managers to “get it right” in more complex environments.

The organisations that will be in the strongest position in 2026 are not those reacting fastest, but those preparing most thoughtfully now.

1. Employment Law Complexity Will Continue to Increase

UK employment law is not static, and the Employment Rights Act is unlikely to be the last significant change employers will need to navigate before 2026.

What I’m seeing already is that many businesses are struggling not with intent, but with interpretation. Policies written years ago no longer reflect current practice. Managers are unsure where discretion ends and risk begins. Documentation hasn’t kept pace with reality.

By 2026, the biggest risk won’t be getting the law wrong deliberately, it will be relying on outdated assumptions in a more regulated environment.

What helps:
Clear, current policies. Manager education. Consistent processes that are applied fairly and confidently across the business.

2. Manager Capability Will Be a Defining Risk Area 

One of the most significant HR challenges we see is the pressure placed on line managers.

Managers are expected to handle performance, absence, conduct, wellbeing, flexible working, and difficult conversations, often without formal HR training. As legal expectations and employee awareness increase, this gap becomes more exposed.

By 2026, businesses that haven’t invested in manager capability will see higher grievance levels, inconsistent decision-making, and avoidable employee relations issues.

What helps:
Practical guidance, accessible HR support, and frameworks that give managers confidence rather than complexity.

3. Workforce Expectations Will Keep Shifting

The UK workforce is more vocal, informed, and values-driven than ever.

Employees expect transparency, flexibility, and fairness, not just in policy, but in how decisions are made day to day. Hybrid working, wellbeing, inclusion, and work-life balance are no longer optional conversations.

By 2026, organisations that haven’t aligned their people practices with their stated values will struggle with engagement and retention.

What helps:
Honest communication, policies that reflect how the business actually operates, and leadership teams willing to listen as well as lead.

4. Handling Employee Relations Issues Will Require More Confidence

Grievances, disciplinaries, performance issues, and workplace conflict are becoming more complex, particularly in hybrid environments where communication is fragmented and documentation can be inconsistent.

What concerns me most is how often businesses delay action because they’re unsure what the “right” approach is. That hesitation often creates greater risk than the issue itself.

Looking ahead to 2026, employers will need to handle people issues with confidence, consistency, and empathy, not avoidance.

What helps:
Structured processes, timely advice, and HR support that balances legal compliance with human judgement.

5. Growth and Change Will Continue to Test HR Foundations

Many UK businesses are entering 2026 with ambitious growth plans, whether that’s scaling teams, restructuring, expanding internationally, or preparing for investment or exit.

Growth exposes weaknesses. HR processes that worked at 30 people often fail at 100. Informal approaches to contracts, pay, or performance don’t scale.

From experience, the biggest mistakes happen when HR is brought in after decisions are made, rather than as part of planning.

What helps:
Early HR involvement, clear workforce planning, and scalable people frameworks that grow with the business.

6. Compliance Will Become More Visible, Not Less

Regulators, employees, and stakeholders are increasingly aligned around accountability.

By 2026, businesses should expect greater transparency around employment practices, from pay and working time to fairness and process. Poor practice is harder to hide and quicker to escalate.

The organisations that feel most confident are not those doing the minimum, but those that understand their obligations and can evidence how they meet them.

What helps:
Regular HR reviews, clear documentation, and a proactive rather than reactive approach to compliance.

How We Support UK Employers in Practice

At Briars, our HR support for UK businesses is designed to meet employers where they are, whether that’s dealing with an urgent people issue, strengthening foundations, or preparing for the next phase of growth.

We work with organisations that need:

• On-the-spot HR support when an issue is live and needs handling correctly, quickly, and sensitively
• Ongoing, trusted HR advice to support managers, reduce risk, and improve consistency
• Proactive HR planning to support growth, restructure, or prepare for investment, exit, or international expansion

Our role is not to complicate HR, but to make it clear, compliant, and commercially sensible, acting as an extension of your team when needed, or a strategic partner when planning ahead.

Final Thoughts: HR Readiness Is a 2026 Priority

If there’s one message I’d leave UK employers with, it’s this:
HR challenges rarely announce themselves, but they are always predictable.

With legislative change such as the Employment Rights Act already reshaping expectations, and further change likely before 2026, now is the time to review whether your people practices are fit for what’s ahead.

The organisations that thrive will be those that support their managers, take a proactive approach to compliance, and invest in HR frameworks that grow with the business.

If you’re looking ahead to 2026 and wondering whether your HR approach is ready, whether you need immediate support, ongoing guidance, or help preparing for growth, starting the conversation early can make all the difference.