Is the Government Raising the Bar for Refusing Flexible Work?

On 26 February 2026, the Department for Business and Trade (“DBT”) published its response to the House of Lords Committee on Home-based Working (the “Committee”) following the Committee’s 2025 inquiry into the effects and future development of remote and hybrid working in the UK. 

Is Working from Home Working?

The Committee published its report titled ‘Is Working from Home Working?’ on 13 November 2025. The report followed a detailed inquiry during which the Committee invited  evidence from individuals and organisations about the impact of changing work patterns on employees, employers, productivity and the wider economy. It also sought to understand how experiences of homeworking vary across different sectors and demographic groups.

The report noted that COVID 19 accelerated the rise in home based work, although data suggested that the trend would have occurred without the pandemic, albeit at a much more gradual pace. The UK now has one of the highest levels of homeworking globally. Despite this, the Committee identified a lack of reliable data concerning the physical and mental effects of homeworking and the broader impact on national productivity. The Committee also highlighted that current data does not distinguish between occasional homeworking and arrangements involving several days at home each week. It stressed the need for further research and more detailed government guidance to help employers manage this evolving area.

The DBT’s Response

In its response, the Government reaffirmed its commitment to supporting flexible working as part of its plan to improve work opportunities. It confirmed plans to encourage fair access to flexible work across sectors, gather more detailed information on employee experiences and strengthen engagement with employers through a more structured advisory group. Existing guidance from Acas and the Health and Safety Executive will be expanded and current initiatives will continue to inform future policy.

Employment Rights Act 2025 (“ERA 2025”)

The response placed particular emphasis on forthcoming changes for flexible working requests under the ERA 2025. At present, employees have the right from the first day of employment to request flexible working and employers may refuse requests if they consider that one or more of eight statutory grounds apply. 

The ERA 2025 will introduce a test of reasonableness so that an employer will only be able to refuse an application on one or more of the eight statutory grounds if it is reasonable to do so. The employer will also need to explain why they consider that it is reasonable to refuse the application. It is intended to make it more difficult for an employer to refuse a request for flexible working. 

Once the reforms are finalised, Acas will consider revising its Code of Practice to provide guidance on this new reasonable test. A government consultation on flexible working practices as well as seeking thoughts on a new process for employers to follow when a statutory request cannot be immediately agreed opened on 5 February 2026 and will close on 30 April 2026.

Summary

The Government’s response to the report does not introduce major new commitments but reinforces existing plans to make it harder to refuse flexible working and improve employer support. With changes due to take effect in 2027, employers should begin reviewing their procedures now. 

If you need assistance with advice on flexible working requests, our specialist Employment Law Solicitors can help. Get in touch with us today here to discuss your situation and receive tailored advice.

Sources

Government response to the report of the House of Lords Home-based Working Select Committee (web version) – GOV.UK

Is working from home working?

Call for evidence launched into remote and hybrid working in the UK – Committees – UK Parliament

LABOUR’S PLAN TO MAKE WORK PAY – Delivering A New Deal for Working People

Make Work Pay: consultation on improving access to flexible working (web version) – GOV.UK

Drive to tackle workplace sickness with small business occupational health training – GOV.UK

The contents of this article are a general guide only at the date of publication. It is not comprehensive, and it does not constitute legal advice. Specific legal advice should be sought in relation to the particular facts of a given situation.