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Disclaimer: This is not legal advice. Legislation and case law change. Always consult a qualified solicitor for your specific situation.

UK Law Reference
All sections of Employment Rights Act 1996
1996 c. 18, s.27M

Section 27M — Compensation: dealing with tips etc

Extent: E+W+S

This version in force from 2026-04-06

Snapshot: 2026-08-24

Reproduced from legislation.gov.uk (Crown Copyright, Open Government Licence v3.0). Amendments made after 2026-08-24 may not be reflected — always check the official text .

(1) [F1 If an employment tribunal makes a declaration under section 27L(1)(a), it may order the employer or agent (as the case may be) to pay to the complainant such amount, not exceeding [F2 £5,366], as the tribunal considers appropriate in all the circumstances to compensate the complainant for any financial loss sustained by the complainant which is attributable to the matter complained of.]

(2) [F1 The tribunal may make an order under this section whether or not an order under section 27L(1)(b) has been made.]

Amendment notes

  1. F1 Ss. 27K-27M and cross-heading inserted (E.W.S.) (31.7.2023 for specified purposes, 1.10.2024 in so far as not already in force) by Employment (Allocation of Tips) Act 2023 (c. 13), ss. 7, 14(2); S.I. 2023/876, reg. 3(a); S.I. 2024/829, reg. 3(g)
  2. F2 Sum in s. 27M(1) substituted (6.4.2026) by The Employment Rights (Increase of Limits) Order 2026 (S.I. 2026/310), art. 1(2), Sch. (with art. 4)