13 March 2026
Every payroll professional knows there are a few times a year when calm, organised scheduling suddenly turns into a mild state of panic.
In 2026, Good Friday falls on 3 April and Easter Monday on 6 April, which means two Bank Holidays sit comfortably at the start of the new 2026-27 tax year – because payroll did not have enough excitement already with the new rates, thresholds and legislative updates.
For anyone using Bacs to process payments, any Bank Holidays mean processing days are reduced, as Bacs only works on standard banking days. Since Bacs payments operate on the familiar three-day processing cycle (input day, processing day, and payment day), the holidays can easily catch people out if submissions are left until the last minute.
In practical terms, if you need employees to be paid around this Easter weekend, you will likely need to submit your Bacs file earlier than usual to make sure funds land in bank accounts on time. You can find the Bacs processing calendar here to help plan ahead.
Interestingly, research has shown that a significant number of payroll professionals are not aware of the correct date to include on the Full Payment Submission (FPS) when paying employees early.
Where employees are paid earlier than their normal contractual pay date, it is important to remember that HMRC have confirmed the FPS should still show the employee’s normal contractual pay date.
For example, if you pay weekly and your normal payment date is a Friday, this would fall on Good Friday Bank Holiday on the 3 April. The Bacs process would be:
|
Payment arrival date |
Processing date |
Input Date |
|
Thursday 2 April |
Wednesday 1 April |
Tuesday 31 March |
You would then still report the payment date as the 3 April. In this example the FPS would need to be sent on or before 3 April.
Doing this ensure that the payment is reported to HMRC correctly for tax and National Insurance purposes. It will also help to protect your employees’ eligibility for income-based benefits such as Universal Credit, as an early payment could affect current and future entitlements.
Planning ahead is therefore essential. By reviewing your Bacs submission dates early and ensuring the correct RTI reporting approach is followed, payroll teams can avoid unnecessary complications during what is already a very busy period. Focus can remain on delivering accurate and compliant payroll, and then enjoy the much needed long weekend.
Information provided in this news article may be subject to change. Please make note of the date of publication to ensure that you are viewing up to date information.