The Government has published its response to views put forward during consultation on its plan to increase statutory holiday entitlement. Under legislation now before Parliament the Government's plan to increase statutory holiday entitlement from 20 days per year to 24 days per year will go ahead from 1 October 2007 but the second stage of the increase from 24 days per year to 28 days per year will be delayed until 1 April 2009. Part time employees will be entitled to the extra holidays on a pro-rata basis.

As a transitional measure, employers can make a payment in lieu in respect of the additional four day entitlement introduced from October 2007 until 1 April 2009. This option will cease from 1 April 2009.