Religion Discrimination at Work

Several legal developments in 2026 are directly relevant to employees considering a religion discrimination claim.

From 6 April 2026: Increased Injury to Feelings Awards

The Vento bands, which set the level of injury to feelings awards in discrimination claims, increased on 6 April 2026. The upper band now covers the most serious cases up to £62,900, with exceptional cases capable of exceeding that figure.

This directly affects the value of religious discrimination settlements. If the offer you have received does not reflect the updated bands, it may be worth considerably less than your claim is actually worth. Our solicitors will assess this as part of reviewing your settlement agreement. Read more about what a reasonable settlement agreement looks like.

From 2027: NDA Reform Under the Employment Rights Act 2025

While the Employment Rights Act 2025 is law, the specific regulations governing NDAs are still under consultation as of mid-2026. The ban is expected to take effect in 2027, and will not apply retrospectively to existing agreements.

The Act does not void every single NDA. It introduces a carve-out for “excepted agreements.” An NDA covering discrimination can still be legally binding if strict conditions are met. Specifically, if the worker expressly states in writing they prefer confidentiality, receives independent legal advice specifically on the NDA’s limitations, and is given a 14-day statutory cooling-off period.

From October 2026: Third-Party Harassment

From October 2026, employers will be directly liable if a worker is harassed by a third party in the course of their employment and the employer has not taken all reasonable steps to prevent it. This applies across all protected characteristics, including religion and belief.

If you are experiencing this now, you do not need to wait until October to seek advice. Contact us today.

Employment Rights Act 2025: Enhanced Dismissal Protections

The Employment Rights Act 2025 introduces broader reforms to dismissal and redundancy rights. Some provisions strengthen the position of employees dismissed or subjected to detriment in circumstances connected to a protected characteristic. Further reforms are expected in 2027. See our overview of how settlement agreements work for more on how these changes affect your position.

Our solicitors regularly advise employees on religion discrimination at work, including:

• • Employees refused time off for religious holidays or prayer who were then disciplined or marked negatively for the absence
  • Workers disciplined or dismissed for wearing religious dress their employer deemed incompatible with a uniform policy
  • Employees passed over for promotion after managers made assumptions about their values or availability based on their faith
  • Workers subjected to persistent comments or jokes about their religion that management failed to address

<li”>Employees pressured to attend work events or carry out duties that conflicted with their religious beliefs

• Redundancy exercises where religion appeared to be an undeclared factor in selection
• A settlement agreement offered promptly after a grievance about religious treatment was raised

In many cases, the employer does not acknowledge religion as a factor in their decision. Part of our role is identifying that connection and using it to build your position. If you have been offered a settlement, our guide on what happens when you receive a settlement agreement from your employer is a useful starting point.