As reported in Bite Size February 2007, the DTI have announced that statutory annual leave entitlement is to increase to a maximum of 28 days. Further information that has not been widely reported includes:

· Workers and employers will be able to agree in a relevant agreement (eg a contract of employment) that some or all of the “additional holiday” may be carried into the next holiday year, but this will not apply to the existing entitlement to four weeks.

· Employers will still be able to require that employees take the additional leave on normal bank holidays. However, if the worker is already on another form of statutory leave on such bank holidays (eg maternity leave) they would be entitled to take a different day as holiday so not to be deprived of their statutory leave.

· Employers will not be able to pay workers in lieu of additional holiday. However, employers will still be entitled to pay in lieu of any contractual holiday over and above the statutory entitlement.

If the draft proposals are enforced, holiday entitlement will increase from 20 to 24 days on 1 October 2007 and from 24 to 28 days on 1 October 2008. holidays/closed-consultation/ page36447.html