The Vento bands, which help with calibrating what is awarded in terms of compensation for injury to feelings awards, will increase with effect from the 6th April 2022 following their annual re-evaluation, as set out in guidance issued by the Presidents of the Employment Tribunals in England & Wales and Scotland on the 28th March 2022
Increase In The Vento Bands
Following the latest annual re-evaluation, the increases in the Vento bands will take effect from the 6th April 2022.
The new rate for the top band of the Vento bands is £49,300.00 plus for exceptionally serious cases. For cases presented before the 6th April 2022, the band is £45,600.00 plus.
In relation to the upper band, the band increases to £29,600.00 to £49,300.00 for serious cases. As regards cases presented before the 6th April 2022, the band is £27,400.00 – £45,600.00.
The middle band will increase to £9,900.00 to £29,600.00. In relation to cases presented before the 6th April 2022, the band is £9,100.00 – £27,400.00.
In terms of the lower band, it will increase to £990.00 to £9,900.00 for less serious and one-off cases. For cases presented before the 6th April 2022, the band is £900.00 – £9,100.00.
The Court in Vento stated that awards for less than the lower band should be avoided, and that remains the guidance.
Background To The Annual Re-Evaluation
Following the Court of Appeal decision in De Souza v Vinci Construction (UK) Ltd (2017), it was determined that there was a need to re-evaluate the Vento bands annually each March, with changes to the Vento bands to take effect on or after the 6th April each year so as to coincide with other April employment law rate changes.
In the wake of the De Souza case, it was stated that: “The Presidents will review and, if necessary amend, the Presidential Guidance in March 2018 and annually thereafter. Any new Presidential Guidance will come into effect in respect of claims presented on or after 6 April in each year. We recognise the need to adopt a simple and transparent method for revaluing injury to feelings awards.”
In relation to the re-evaluation on the 28th March 2022, the presidential guidance stated: “This Fifth Addendum updates, but does not otherwise replace, the Presidential Guidance originally issued on 5 September 2017 and the First, Second, Third and Fourth Addenda subsequently issued on 23 March 2018, 25 March 2019, 27 March 2020 and 26 March 2021, which remain relevant to claims presented before 6 April 2022. The [Fifth] Addendum takes into account changes in the RPI All Items Index released on 23 March 2022.”
In the Fourth Addendum, the Presidents pointed out that: “The Presidents remain aware of the shortcomings of the Retail Prices Index as a measure of inflation. They will consider at the relevant time any future change to the appropriate index of inflation that might be adopted in the Judicial College Guidelines for the Assessment of General Damages in Personal Injury Cases and/or by section 34 of the Employment Relations Act 1999.“
Vento Bands & Other April Rate Changes
The increases to the Vento bands were the final set of the April rate changes to be announced. The other April rate changes were as follows:-
- 1st April 2022 – increases to the National Minimum Wage and National Living Wage
- 3rd April 2022 – increases in statutory maternity pay, statutory paternity pay, shared parental pay, statutory adoption pay, maternity allowance, and statutory parental bereavement pay, from £151.97 to £156.66 per week.
- 6th April 2022 – statutory pick pay (SSP) will increase from £96.35 to £99.35 per week. On the same date, the statutory cap on a weeks pay for the purposes of calculating the basic award and statutory redundancy pay, will increase from £544.00 to £571.00
The increases in the National Minimum Wage and National Living Wage were as follows:-
- For workers aged 23 and over (i.e. the National Living Wage), the rate will increase by 6.6% from £8.91 per hour to £9.50 per hour
- For workers aged 21-22 inclusive, the rate will increase by 9.8% from £8.36 per hour to £9.18 per hour
- For workers aged 18-20 inclusive, the rate will increase by 4.1% from £6.56 per hour to £6.83 per hour
- For workers aged 16-17 inclusive, the rate will increase by 4.1% from £4.62 per hour to £4.81 per hour
- The apprentice rate will increase by 11.9% from £4.30 per hour to £4.81 per hour
- The daily rate for the accommodation offset will increase by 4.1% from £8.36 to £8.70
November 2021 Rate Changes
Unlike the Vento bands and National Living Wage, the Real Living Wage and London Living Wage increases in November each year. Hence, the Real Living Wage was increased on the 15th November 2021 by 40p per hour from £9.50 per hour to £9.90 per hour. The London Living Wage increased at the same time, rising by 20p from £10.85 per hour to £11.05 per hour.
