Employee well-being remains a top priority in the UK, yet the challenge is immense. Many employees feel their workplace could do more to support a healthy work-life balance, while mental health issues such as stress and anxiety contribute to millions of lost working days annually. Financial stress also significantly impacts productivity, with many employees reporting its effects on their job performance. Despite this, it’s estimated that less than half of UK employers have formal wellbeing programs in place, signaling a clear opportunity to improve support systems. These realities emphasize why well-designed benefits are crucial for attracting, retaining, and motivating talent in today’s competitive market.
At Eppione, fully licensed in the UK and Ireland to consult on employee benefits and provide financial advice, and regulated by the FCA alongside the Irish and UK central banks, we know how to craft benefits that truly resonate. In this blog, we’ll explore 8 essential employee benefits every UK employer should offer, plus smart tips on managing them effectively to keep your team motivated, supported, and thriving. Let’s dive in!
1. Private Health Insurance
Why it matters: Private health insurance remains a cornerstone of employee benefits in the UK. With NHS wait times growing, 61% of UK companies now offer private coverage, providing employees faster access to medical care and peace of mind. It signals a strong commitment to employee well-being and financial security.
How to manage it: Utilise a group health insurance policy for cost efficiency
2. Mental Health Support
Why it matters: High-pressure startup environments can contribute to stress and burnout. Supporting mental health improves resilience and overall productivity. Mental health challenges are a growing concern in UK workplaces, with over 15% of workers living with a mental health condition and stress, depression, or anxiety causing more than 16 million lost working days annually, according to Spill.
How to manage it: Provide Employee Assistance Programmes (EAPs), counselling services, and digital wellness tools.
3. Retirement & Pension Plans
Why it matters: Even early-career employees value long-term financial security. Offering pension or retirement savings options highlights organisational stability and foresight. In 2024, 89% of eligible UK employees were saving into a workplace pension, reflecting widespread recognition of its importance. Offering pension options signals organisational stability and foresight, helping attract and retain talent.
How to manage it: Automate pension contributions, consent capture, and reporting through a benefits administration software. This reduces administrative burden while ensuring payroll is accurate.
4. Paid Time Off (PTO)
Why it matters: Rest and recovery are essential for sustained performance, creativity, and retention. Most UK workers who work 5 days a week are legally entitled to a minimum of 28 days (5.6 weeks) of paid annual leave, including public holidays, underscoring the importance of work-life balance. Yet, many employees do not take their full entitlement, increasing the risk of burnout. Clear PTO policies demonstrate respect for employees’ well-being and encourage them to take necessary breaks.
How to manage it: Define clear policies for annual leave, sick leave, and personal days. Use HR systems that integrate to streamline requests, approvals, and reporting.
5. Flexible & Remote Working
Why it matters: Flexibility has become a standard expectation across industries. With about 63% of UK workers doing at least some of their job remotely as of early 2025, offering flexible or hybrid options helps attract diverse talent across geographies and supports work-life balance.
How to manage it: Implement HR tools to track attendance, manage hybrid schedules, and maintain collaboration.
6. Learning & Development (L&D) Benefits
Why it matters: Professional growth opportunities strengthen engagement and equip employees with the skills required to scale the business. With nearly 94% of UK employees saying they would stay longer at a company that invests in their learning and development, L&D is a powerful retention tool. Offering personalised and career-relevant training can keep your workforce motivated and future-ready.
How to manage it: Offer training budgets, access to online learning platforms, and mentorship programmes.
7. Equity & Stock Options
Why it matters: Equity schemes align employees’ interests with organisational growth, fostering commitment beyond immediate financial rewards. In the UK tax year ending 2024, 20,370 companies operated tax-advantaged employee share schemes, with 89% using the popular EMI scheme. These schemes delivered over £1.29 billion in combined Income Tax and National Insurance relief, underlining their growing use as a financial and motivational tool.
How to manage it: Structure share option plans with professional guidance from legal and financial advisors. Provide transparent communication so employees understand the mechanics and long-term value.
8. Lifestyle Benefits
Why it matters: Additional benefits such as wellness allowances, fitness memberships, or meal vouchers contribute to employee satisfaction and workplace culture. According to a Sodexo Engage survey, 59.8% of UK employees are more likely to stay longer at a company that offers great perks. Popular perks include finishing early on Fridays (87.6%), paid holiday allowance (84.1%), and summer hours (76.8%).
How to manage it: Provide employees with a benefits platform where they can select perks most relevant to their needs. This flexibility ensures higher engagement and better cost control.
The Importance of Effective Benefits Management
While selecting benefits in the United Kingdom is critical, efficient management is equally important. Startups often lack the administrative capacity to manage multiple providers, ensure compliance, and handle employee queries. Without the right tools, benefits administration can become resource-intensive and inefficient.
Eppione provides the solution. Our integrated HR and benefits platform allows companies to:
- Manage all benefits from a single, centralised system that integrates with HRIS tools
- Gain actionable insights into employee preferences, consent capture, and usage
- Automate compliance, contributions, and reporting
- Empower employees with self-service access to their benefits
By simplifying benefits administration, startups can allocate more time and resources to scaling their business while fostering a positive and supportive employee experience. Employee benefits are no longer optional; they are a strategic necessity. For startups, implementing the right benefits early on helps to build a strong culture, attract top talent, and support long-term business success.
With Eppione, startups can deliver competitive, flexible, and efficiently managed benefits from day one — ensuring employees feel valued while the organisation remains focused on growth and innovation.
From private health insurance and mental health support to flexible working and lifestyle perks, these benefits build a workplace culture that attracts, engages, and retains top talent. By leveraging our benefits administration platforms and expert guidance, UK employers can not only meet employee expectations but also drive productivity, loyalty, and long-term organisational success. Investing in employee benefits is ultimately an investment in your people and in the future of your business.
If you’re interested in seeing how we help companies search, compare, and select new benefits for their employees, or better communicate their existing benefits, feel free to schedule a demo with us.
