Business in the Community’s statement on reforming zero-hours contracts 

The Government has opened a consultation into reforming zero-hours contracts, focused on ending one-sided flexibility and improving predictability for workers. 

Business in the Community’s (BITC) In-Work Poverty in Scotland: What Employers Need to Know report highlights that almost two thirds of working-age adults in the UK who are living in poverty live in households where someone is in work, demonstrating that employment alone is not always enough to provide financial security. The report identifies insecure work, including unpredictable hours and zero-hours contracts, as a key driver of in-work poverty. In addition, BITC’s Prioritise People report and Workwell Model demonstrate that investing in employee health and wellbeing is fundamentally about the quality of work itself, including work conditions, job design, and management. 

It is vital that businesses engage with the Government reforms in this area, helping to shape employment practices that deliver better outcomes for workers and organisations.  

In response to the consultation, Amy Butterworth, Inclusion and Wellbeing Issue Director at Business in the Community, said: 

For many people, unpredictable hours mean unpredictable income, with real consequences for financial security and wellbeing. Greater certainty over hours could benefit certain groups who can often be overrepresented in less secure jobs and sectors, including women, young people, ethnically diverse employees, and workers with disabilities. There is also a strong wellbeing case for reform, since predictable working patterns and reliable income are linked to lower stress and greater control at work. However, for some workers, zero-hours contracts are currently the only realistic option available if they require flexibility in their working hours.  
 
The need for change around zero-hours contract policy is clear, but there is the risk of unintended consequences if policies around these contracts change. What we need to do is reduce insecurity without removing opportunity. This is why it is essential that businesses have their say via the Government’s consultation, to help shape employment practices that will deliver better outcomes for both workers and their organisations.

We encourage our members to respond to the Make Work Pay: ending one-sided flexibility – reforms of zero hours and similar contracts consultation and share their views. The consultation closes on 25^th August 2026.  

ENDS

Notes to editor

For further information, please contact Polly Dacam, Senior Public Affairs and Media Officer, on 020 7566 6638.

About Business in the Community

Business in the Community (BITC) champions responsible business as essential for long term economic growth and resilience.   
 
It is the UK’s leading responsible business network, working with companies of all sizes to tackle society’s most pressing challenges from climate change and place-based community regeneration to inequality, workplace wellbeing, and inclusive growth.  
  
Founded by His Majesty King Charles III in 1982, BITC has over four decades of experience in engaging business and delivering measurable impact in both business and in communities through evidence-based interventions. 

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