Two Easters in One Year? Employers Need to Be Aware of the Upcoming Fat Year

Why It Matters

Employers risk unexpected staffing gaps and increased leave costs if contracts don’t address the extra holidays, while employees may lose entitlement expectations. Proper policy alignment safeguards operational continuity and compliance with emerging Fair Work Agency oversight.

Key Takeaways

• FY26/27 includes two Easter weekends, increasing bank holidays
• Contracts dictate entitlement; not all holidays are automatically paid
• Employers must review policies to avoid unexpected leave liabilities
• Employees may exploit extra holidays for extended breaks
• FY27/28 will be a “lean year” with no Easter holidays

Pulse Analysis

A "fat year" occurs when the lunar‑based Easter date lands twice within a single UK leave year, as it will in FY26/27. This adds two extra statutory bank holidays—Good Friday and Easter Monday—beyond the usual eight. The phenomenon is rare but predictable, and it forces HR teams to reconsider annual leave budgeting, especially for sectors that already schedule around holiday peaks. Understanding the calendar mechanics helps organisations anticipate staffing pressures and align payroll forecasts with the additional paid days.

Contractual language becomes the decisive factor in a fat year. Some employment agreements guarantee only core holidays such as Christmas Day, while others extend to all statutory days. Employers must audit these clauses to determine whether the second Easter set is automatically granted or must be drawn from accrued leave. Retail and hospitality firms, which often rely on holiday traffic, should clarify whether staff are expected to work on one of the Good Fridays and compensate accordingly. Clear communication prevents disputes and ensures compliance with the Fair Work Agency’s expanding enforcement powers.

From a strategic standpoint, employees quickly spot the opportunity to combine the two Easter weekends with minimal annual leave, potentially taking up to ten consecutive days off using just four leave days. Companies should establish transparent request processes—whether first‑come‑first‑served or based on seniority—to manage demand fairly. Conversely, FY27/28 will be a "lean year" with no Easter holidays, reducing the total bank holiday count and possibly requiring employers to add discretionary days to meet statutory leave totals. Proactive planning for both fat and lean years safeguards workforce morale, operational stability, and regulatory compliance.