Zero-hours contracts have long been a feature of the UK labour market. Introduced in the early 2000s as a way for employers to match fluctuating demand with flexible staffing, they have been widely used in sectors such as hospitality, retail, care, logistics and leisure.
For many workers, zero-hours contracts offer flexibility and autonomy. For others, they can create financial uncertainty and unpredictability.
As a result of these mixed experiences, zero-hours contracts have been subject to ongoing debate among policymakers, unions, employers and worker advocates. In response, the UK Government has introduced a programme of reform designed to improve fairness and predictability for workers while preserving flexibility where it remains genuinely beneficial to both parties.
This blog explains the reforms to zero-hours contracts under the Employment Rights Act 2025, how they are expected to take effect over 2026 and 2027, and what UK employers and HR professionals should be doing now to prepare.
What is a zero-hours contract?
A zero-hours contract is an agreement where the employer does not guarantee a minimum number of working hours. Individuals engaged on these contracts are offered work as and when it is available and are generally paid only for the hours they work.
Zero-hours contracts are commonly used to respond to variable or unpredictable demand. For example, they may be used in hospitality to cover peak periods or in care settings where client needs fluctuate.
From an employer perspective, zero-hours contracts can reduce labour costs and increase operational flexibility. From a worker’s perspective, they may offer freedom to accept or decline work, making them attractive to students, carers or those seeking supplementary income. However, the lack of guaranteed income and short-notice scheduling has led to criticism and calls for stronger legal protections.
The context for reform
The reform of zero-hours contracts forms part of a wider package of employment law changes introduced under the Employment Rights Act 2025, which received Royal Assent in December 2025. The Act represents a significant shift in employment policy, aimed at strengthening worker protections while reflecting the realities of modern working arrangements.
Importantly, many of the Act’s provisions, including those affecting zero-hours contracts, are not yet fully in force. Instead, they will be introduced gradually through secondary legislation and regulations during 2026 and 2027. This phased approach allows employers time to adapt their systems, contracts and workforce planning.
In relation to zero-hours contracts, the reforms focus on reducing prolonged uncertainty, improving predictability for workers who want it, and ensuring greater transparency in how flexible work is managed.
Predictable working patterns: what is changing?
One of the most significant reforms affecting zero-hours contracts is the introduction of a statutory right to request a predictable working pattern.
Under the Employment Rights Act 2025, workers, including those on zero-hours contracts, will be able to request more predictable hours once they meet a qualifying period of service. The precise qualifying period, process and timeframes will be set out in regulations expected to come into force during 2026–27.
When a request is made, employers will be required to consider it in a reasonable manner and may refuse only for specified business reasons. While this does not create an automatic entitlement to guaranteed hours, it does place a clear obligation on employers to engage with requests properly and to explain decisions transparently.
This reform is intended to prevent workers from remaining indefinitely on unpredictable schedules where they are, in practice, working regular hours over time.
Guaranteed hours following regular work
In addition to the right to request predictability, the Employment Rights Act 2025 introduces provisions requiring employers to offer guaranteed hours to workers who have established a regular working pattern over a defined reference period.
These obligations will apply only once the relevant regulations are in force. Details such as the length of the reference period and how guaranteed hours must be calculated will be confirmed through secondary legislation. Employers should therefore monitor developments closely and begin reviewing workforce data to understand where patterns of regular work already exist.
Greater transparency and scheduling practices
The reforms also aim to improve transparency around working arrangements for zero-hours workers. While there is currently no standalone statutory duty requiring detailed scheduling disclosures at recruitment stage, the direction of travel is clear.
Employers are expected to provide clearer information about:
- How work is offered and scheduled
- Pay rates and pay reference periods
- The likelihood of regular or ongoing hours
As these reforms are implemented, job advertisements, contracts and onboarding materials should be reviewed to ensure they accurately reflect how zero-hours arrangements operate in practice. Clear communication helps individuals make informed decisions and reduces the risk of disputes later.
Implications for workforce planning
For HR professionals, the forthcoming right to request predictable working patterns and the duty to offer guaranteed hours will require careful workforce planning. Employers will need to balance operational flexibility with the new legal expectations around stability and predictability.
This may involve reviewing:
- Rota and scheduling systems
- The use of zero-hours contracts for long-term resourcing needs
- Whether certain roles would be better suited to minimum-hours or part-time contracts
Technology can assist with managing complex schedules, but clear policies and human judgement will remain essential.
Training and policy development
HR teams and line managers must understand both the current legal position and the changes that are coming. Employers should begin updating internal policies to reflect the new framework, even where provisions are not yet in force.
Policies should clearly explain:
- Who can request a predictable working pattern
- How requests should be made
- How decisions will be assessed and communicated
Training for managers is critical to ensure requests are handled consistently, lawfully and fairly.
Avoiding discrimination and unfair treatment
All decisions relating to zero-hours contracts and predictable working pattern requests must comply with the Equality Act 2010. Workers must not be treated unfavourably because they have exercised, or sought to exercise, their statutory rights.
Failure to handle requests properly may expose employers to grievances or employment tribunal claims once the new rights take effect. Robust documentation and transparent decision-making will be key risk-management tools.
Balancing flexibility with security
Zero-hours contracts will remain lawful in the UK following the reforms. They are not being banned. Instead, the Employment Rights Act 2025 reshapes how they are used, ensuring that flexibility does not come at the cost of long-term insecurity where regular working patterns have emerged.
Many workers continue to value flexible arrangements, and the reforms are designed to preserve this choice while offering greater protection for those who want predictability.
The role of HR in embedding the reforms
HR professionals play a central role in ensuring organisations are ready for the changes. This includes reviewing contracts, updating handbooks, training managers, and communicating clearly with workers about their rights and options.
Employers that take a proactive approach — rather than waiting for enforcement — are likely to reduce legal risk, improve engagement and strengthen their employer brand.
Preparing for future developments
Employment law will continue to evolve beyond 2026. HR teams should stay informed through government guidance, professional bodies and specialist advice. Ongoing developments in flexible working, worker status and contingent labour protections are likely to influence how zero-hours contracts are regulated in the years ahead.
Final thoughts
The reform of zero-hours contracts under the Employment Rights Act 2025 represents a significant shift towards greater predictability and fairness, without removing flexibility altogether. For employers and HR professionals, the focus should now be on preparation: understanding what is changing, when it will take effect, and how internal practices need to adapt.
By approaching these reforms as an opportunity to improve workforce planning and the employee experience, organisations can remain compliant while building more resilient and trusted working relationships.
If your organisation is navigating the zero-hours contract reforms and would benefit from practical, tailored HR support, contact HRM Derbyshire Peaks today for expert guidance.
Legal disclaimer: This blog is provided for general information purposes only and does not constitute legal advice. Employment law is subject to change, and the application of the law will depend on individual circumstances. Employers should seek professional or legal advice before taking action based on the information contained in this article.