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Freedom of Information request Calculation of Holiday Pay

Response published: 15 September 2026

FOI Request

Freedom of Information Request – Ref: FOI 276-2026 Thank you for your recent Freedom of Information request. Please find our response below. Calculation of Holiday Pay You asked Our Response Employer name Gloucestershire Health and Care NHS Foundation Trust Payroll 1.     Who provides your payroll services?  The Trust’s payroll services are provided by Gloucestershire […]

FOI Response

Freedom of Information Request – Ref: FOI 276-2026

Thank you for your recent Freedom of Information request. Please find our response below.

Calculation of Holiday Pay
You asked Our Response
Employer name Gloucestershire Health and Care NHS Foundation Trust
Payroll
1.     Who provides your payroll services?  The Trust’s payroll services are provided by Gloucestershire Shared Services for NHS
Calculation of holiday pay for substantive staff
2.  Confirm the basis upon which holiday pay is calculated for all staff (including employees and workers) in your organisation specifically in relation to compliance with Section 13.9 of the Agenda for Change Terms and Conditions of Service Handbook and associated case law.

        13.9 Pay during annual leave will include regularly paid supplements, including any recruitment and retention premia, payments for work outside normal hours and high cost area supplements. Pay is calculated on the basis of what the individual would have received had he/she been at work.

For example, rolled up holiday pay (percentage multiplier, often known as WTD payment), AfC average pay or other (please specify).

 In your answer please specify:

 a.  Whether the calculation of holiday pay includes regularly paid supplements as set out in 13.9, including but not limited to regularly worked nights, weekends and bank holidays (i.e. unsocial hours).

 b. The reference period used to calculate the inclusion of unsocial hours payments in holiday pay.

Please provide copies of any Trust policies, payroll guidance, standard operating procedures or local agreements governing the calculation of holiday pay. 

Annual leave pay for substantive Agenda for Change (AfC) staff is calculated in accordance with Section 13.9 of the NHS Terms and Conditions of Service Handbook; (https://www.nhsemployers.org/publications/tchandbook) and associated national NHS guidance.

The Trust does not use rolled-up holiday pay for substantive employees. Since implementation of the national ESR AfC Average Pay functionality, annual leave pay is calculated using the AfC Average Pay methodology.

WTD is paid at 12.07% to bank workers.

2a. Inclusion of regularly paid supplements

Yes. The calculation includes regularly paid supplements as required by Section 13.9, including:

  • Unsocial hours payments (nights, weekends and bank holidays where applicable)
  • Qualifying overtime
  • Additional standard hours
  • Recruitment and retention premia (where applicable)
  • Other qualifying AfC enhancement payments

2b. Reference period

The Trust applies the nationally supported ESR AfC Average Pay methodology.

Staff with regular working patterns: 52 weeks

Staff with irregular working patterns: 52 weeks

The applicable reference period is used to calculate average qualifying earnings for annual leave payments.

Overtime
3. How do you pay staff who work additional standard time or hours in excess of 37.5 hours per week?

 Please select from the following options:

· This is paid as overtime (i.e. time and a half)

· This is managed through a bank system

· Other – please specify

Payment arrangements vary according to Agenda for Change provisions and assignment type:

  • Additional standard hours for part-time employees are generally paid at plain time rates until full-time hours are reached.
  • Overtime for eligible AfC staff is paid in accordance with Agenda for Change overtime provisions.
  • Some additional shifts may also be undertaken through the Trust Bank arrangements.
4a. Does your holiday pay calculation include overtime and additional standard hours? If so, how is this calculated. Yes.

Following national NHS Staff Council agreements arising from the Flowers case and subsequent national guidance, regularly worked overtime and additional standard hours are included within the AfC Average Pay calculation where they meet the relevant criteria.

4b. What reference period is used to calculate the inclusion of overtime and additional standard hours in holiday pay? The same AfC Average Pay reference periods apply:

  • Regular working patterns: 52 weeks
  • Irregular working patterns: 52 weeks
Multipliers
5. If you apply a specified multiplier to employee’s regular pay, is this adjusted to reflect actual annual leave entitlement (27, 29 or 33 days depending on length of service)?

Please specific the multipliers you use.

The Trust does not currently apply a percentage multiplier (for example 12.07%) to substantive employees’ holiday pay. Holiday pay is calculated using the AfC Average Pay methodology.
6. If you apply a specified multiplier to employee’s regular pay (e.g. 12.07%), how is this payment indicated on pay slips? Not applicable for substantive staff as the Trust does not use a percentage multiplier approach for substantive employee annual leave payments.

AfC Average Pay is shown as a separate payroll element on the employee’s payslip where applicable.

Holiday entitlement for part-time workers
7. Do you give additional holiday entitlement to part time workers who regularly work additional standard time?  No. Annual leave entitlement is based on contractual hours and Agenda for Change provisions. Additional standard hours worked do not create additional annual leave entitlement. However, qualifying additional standard hours may be reflected within the AfC Average Pay calculation in accordance with national guidance.
Bank staff
8. Confirm the basis upon which holiday entitlement and pay is accrued and paid to bank staff within your organisation. 

 Please specific the multipliers you use (if applicable).

 Please provide copies of any Trust policies for bank workers.

Bank workers accrue and receive holiday pay separately from substantive AfC Average Pay arrangements.

The Trust does not apply AfC Average Pay to bank-only assignments. Historically, holiday pay for bank work has been paid using a Working Time Directive (WTD) percentage methodology, commonly referred to as rolled-up holiday pay.

The Trust can provide copies of current Bank Staff policies and guidance documents relating to holiday pay arrangements for bank workers. Relevant national guidance is also publicly available within the NHS Terms and Conditions of Service Handbook:  https://www.nhsemployers.org/publications/tchandbook and NHS Staff Council guidance on holiday pay and AfC Average Pay arrangements: https://www.nhsemployers.org/articles/holiday-pay

Next steps:

Should you have any queries in relation to our response, please do not hesitate to contact us. If you are unhappy with the response you have received in relation to your request and wish to ask us to review our response, you should write to:

Louise Moss
Head of Legal Services / Associate Director of Corporate Governance
c/o Gloucestershire Health and Care NHS Foundation Trust
Edward Jenner Court
1010 Pioneer Avenue
Gloucester Business Park
Brockworth, GL3 4AW
E-mail: louise.moss20@nhs.net

If you are not content with the outcome of any review, you may apply directly to the Information Commissioner’s Office (ICO) for further advice/guidance. Generally, the ICO will not consider your case unless you have exhausted your enquiries with the Trust which should include considering the use of the Trust’s formal complaints procedure. The ICO can be contacted at: The Information Commissioner’s Office, Wycliffe House, Water Lane, Wilmslow, Cheshire SK9 5AF.