Investor edition Wednesday, July 15
Economy Markets Policy

UK to Require Salary Disclosure in Job Ads Under Draft Laws

The government is studying proposals to require employers to publish salary information in job adverts, alongside possible disclosure of other job conditions, in an effort to increase transparency and curb pay…

Salary information to be shown on job ads under new laws, BBC reports
Salary information to be shown on job ads under new laws, BBC reports

Market impact

The policy could boost transparency in hiring and help reduce pay discrimination, affecting employers and jobseekers across England, Wales and Scotland.

Why it matters: If enacted, the rules would standardize how compensation information is shared during hiring, potentially influencing labor market dynamics, equality outcomes, and compliance costs for employers.

Key numbers

  • 100+ employees (EU rule)
  • October (consultation deadline)
  • £10,000 (typical range cited)
  • 2022 (related PIL)
  • 2024 (related developments)

Watch next

  • Consultation outcomes
  • Legislation timeline
  • Northern Ireland position on Windsor Framework
  • EU pay transparency alignment
Labor/HR Public sector Private sector employers UK Cabinet Office Employers Jobseekers CIPD

The government is preparing draft legislation that would require employers to publish salary information in job adverts as part of rewriting anti-discrimination laws. The proposed changes could also compel disclosure of other job conditions to candidates. Ministers argue that greater transparency will help jobseekers navigate the market and could prevent future pay discrimination claims.

However, the specifics of what must be shared are still to be decided. Officials plan to consult on whether exact salaries must be displayed or whether a pay range or benchmark rate for open roles would suffice. They will also ask industry groups whether information beyond basic pay, such as bonuses, should be made available.

Employers that do not publish a job advert for a role would have to provide the information in writing before a job interview. In a policy document, the Cabinet Office said salary information would help jobseekers make informed application decisions and improve the hiring process by weeding out candidates with misaligned pay expectations. Citing academic studies, the document also said transparency could prevent unequal outcomes when salaries are offered.

It noted that when pay is opaque, salary decisions can be influenced by stereotypes related to gender, ethnicity, or disability. While pay transparency is not yet mandatory in the UK, there has been a trend toward voluntary disclosure, with research showing public bodies and charities more likely to publish ranges than exact salaries in private sector roles. The proposals align with ongoing pay transparency moves across the European Union.

Large employers in Europe with more than 100 workers will have to disclose the initial pay or range for new roles, either in the job advert or before interviews, and they will be barred from asking candidates about their salary history. The Cabinet Office said the proposals would apply in England, Wales and Scotland, with legislation to follow a consultation with industry that closes in October. The Northern Ireland rights watchdog has argued EU pay transparency rules should apply under the Windsor Framework, but the Northern Ireland Executive has not committed to follow the EU rules.

BBC has contacted officials in Northern Ireland for clarity on plan applicability in light of the GB proposals.