If you’re doing agency work in UK healthcare, you’ll come across the phrase ‘rolled-up holiday pay’ on your payslip or in your onboarding pack. It’s one of the specifics of agency work that changes how you earn and how you plan time off, and it’s worth understanding what it means before your first payslip lands.
What follows covers what rolled-up holiday pay is, the 12.07% figure, how it shows up on your payslip, and how to plan time off around it. If you’re new to agency work more broadly, our guide to flexible agency work in UK healthcare covers the wider picture.
What Is Rolled-Up Holiday Pay?
Rolled-up holiday pay means your holiday entitlement is included within each payslip as you earn it, not accrued and paid out only when you take annual leave. You see it on your payslip alongside your regular hourly pay, week by week.
Rolled-up holiday pay was formally reinstated in UK law for irregular-hours and part-year workers under the Employment Rights (Amendment, Revocation and Transitional Provision) Regulations 2023, which came into effect for leave years starting on or after 1 April 2024. Most agency healthcare workers fall within these categories, so rolled-up holiday pay is a legitimate and current practice.
How Much Is Rolled-Up Holiday Pay?
The statutory uplift is 12.07% of every hour worked. That figure represents statutory holiday entitlement expressed as a percentage of working time: 5.6 weeks of annual holiday divided by the remaining 46.4 weeks of work in the year.
On your payslip you’ll typically see it labelled as ‘holiday pay’ or ‘RUHP’ as a separate line from your basic rate, calculated against the hours you worked that pay period. If your agency pays above the statutory minimum, the percentage may be higher.
Why Agency Workers Choose It
Everyone manages their finances differently, and rolled-up holiday pay gives workers more control over how their earnings are used. Some people choose to:
- Put money aside each week towards a holiday
- Create their own savings pot for future plans
- Build an emergency fund for unexpected expenses
- Manage household budgets more easily
- Save for special occasions or family commitments
The choice is entirely yours. Some workers value the immediate access, others prefer the discipline of accrued pay released on request. Both are legitimate approaches, and knowing which suits you helps you plan.
Rolled-Up vs Accrued Holiday Pay: What’s the Difference?
Two ways UK employers can handle holiday pay for eligible workers:
- Rolled-up: your holiday pay is included in each payslip as an uplift on hours worked. You receive it as you earn it.
- Accrued: your holiday pay is held by the employer and paid when you take annual leave. You receive it when you request time off.
Both approaches deliver the same statutory entitlement over the year. The difference is timing and control. Rolled-up gives you the money now and hands you the responsibility of budgeting for time off. Accrued does the budgeting for you and releases the funds when you book leave. Which suits you depends on how you prefer to manage your finances.
Rolled-Up Holiday Pay and Your Payslip
You should see rolled-up holiday pay itemised on each payslip. If it’s not clear where the line is, ask your consultant or the Medsolve payroll team to walk you through it. Understanding exactly what you’re being paid, and why, matters more than most other payroll queries.
Tax and National Insurance are deducted from the rolled-up holiday pay portion the same way they are on your basic pay. HMRC treats it as earnings, so you don’t get a separate tax treatment. That’s worth knowing if you’re new to agency work and comparing take-home figures against a substantive role.
Planning for Time Off Still Matters
Rolled-up holiday pay gives you flexibility, but the responsibility for planning time off shifts to you. Healthcare professionals work incredibly hard, and taking regular breaks to rest, recharge, and spend time with family and friends is essential.
A few practical suggestions:
- Set aside a portion of your rolled-up holiday pay each week for extended leave, so you don’t treat it as regular income
- Plan longer breaks in advance so you know the budget is there
- Speak to your consultant if you’re planning a significant gap in shifts. Advance notice helps them and helps your regular clients
Whether you’re planning a summer holiday, Christmas, home improvements, or simply well-earned downtime at home, the money is available. The trade-off is that budgeting it is on you.
How Medsolve Approaches Holiday Pay
At Medsolve, holiday pay is paid on a rolled-up basis and included within each payslip. That means you receive your holiday entitlement as you earn it, week by week alongside your regular pay. Our payroll team can explain exactly how it’s calculated for your specific hours in a given week, and your consultant can talk you through any questions before your first shift.
If you’d rather take a fuller look at how agency work fits together, our guide on flexible agency work in UK healthcare covers shift choice, pay, and support in more depth.
Ready to Talk to Medsolve
If you’re considering agency work with Medsolve across the North West, North East, or North Wales, register your interest and a consultant will be in touch. We’re happy to explain how holiday pay, shift choice, and everything else works, before you commit to a shift.
This blog is for guidance only. It is not a substitute for professional financial or legal advice. If you have questions about your specific tax position or entitlements, speak to a qualified adviser.
