Acas has published its Annual Report and Accounts for 2025–26, highlighting a significant increase in demand for its services against the backdrop of the Employment Rights Act 2025 and wider labour market change. The report paints a picture of a workplace relations landscape that is becoming increasingly complex, with rising dispute volumes, growing demand for workplace advice and increasing pressure on the employment tribunal system.
During 2025–26, Acas received more than 150,000 early conciliation notifications, representing a 27% increase compared with the previous year. Despite this growth, Acas achieved record success rates in helping parties resolve disputes without the need for formal litigation. More than 9 in 10 early conciliation cases were resolved without proceeding to an employment tribunal, underlining the continued value of early intervention in workplace disputes.
➡️ The report also highlights strong outcomes in collective conciliation. Acas was involved in over 400 collective disputes during the year and reported a 93% settlement or progression rate in these cases. This reflects the increasing importance of collective dispute resolution at a time when industrial relations remain a key area of focus across many sectors.
➡️ However, the report comes against a backdrop of rising tribunal activity. The Ministry of Justice has reported a 39% increase in single employment tribunal claims during 2025–26. While Acas is successfully resolving large numbers of disputes before they reach litigation, the increase in tribunal claims suggests that the overall volume of workplace disputes continues to grow.
Acas notes that it is increasingly dealing with disputes involving sensitive and complex issues, including discrimination-related complaints and disputes arising from organisational change. These types of cases are often more challenging to resolve and can carry significant legal, financial and reputational risks for employers. The findings reinforce the importance of addressing concerns at an early stage and engaging constructively with workplace issues before positions become entrenched.
For employers, the report provides a useful indication of the direction of travel as further Employment Rights Act 2025 reforms are expected to come into force during 2026–27. Changes to employment rights, combined with increasing employee awareness of workplace protections, are likely to contribute to continued demand for advice, conciliation and dispute resolution services.
Commenting on the publication of the report, Acas Chair Clare Chapman described the Employment Rights Act and the Government’s wider Make Work Pay programme as representing both a major legislative shift and a significant change for the labour market.
➡️ The report serves as a reminder that, as the employment law landscape continues to evolve, early intervention and effective workplace dialogue remain key tools in preventing disputes from escalating into formal legal proceedings.
HR and Legal Connect can support you through the ACAS conciliation process, so please do not hesitate to get in touch if you find yourself in this position.
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