Tipping & Gratuities Policy (UK) 2026 Edition

Manage tips fairly, transparently and in line with UK legislation.

This professionally written Tipping & Gratuities Policy provides UK employers with a clear framework for distributing tips, service charges and gratuities fairly while maintaining compliance with current UK legislation.

Created by a Master's qualified HR Specialist (CIPD Level 7 Accredited), this editable policy is ideal for hospitality businesses, restaurants, bars, cafés, hotels and leisure operators that want a professional and transparent approach to tip allocation.

The policy helps employers establish clear rules around tip distribution, employee rights, record keeping and consultation requirements, reducing the risk of disputes and promoting trust across the workforce.

What's Included

✔ Tipping & Gratuities Policy (2026 Edition)

✔ Fully editable Microsoft Word document

✔ Ready to use professional policy framework

✔ Suitable for hospitality and customer-facing businesses

The policy covers:

✔ Card tips, cash tips and service charges

✔ Fair and transparent tip allocation methods

✔ Point system allocation guidance

✔ Hours worked allocation guidance

✔ Tronc system guidance

✔ Employee rights and tipping records

✔ Consultation and review requirements

✔ Record keeping and audit trail requirements

✔ Disciplinary consequences for non-compliance

Why Choose This Policy?

Save Time

Avoid creating tipping policies from scratch. Simply customise with your organisation's details and implement immediately.

Support Compliance

Provides a structured framework for managing tips and gratuities in line with UK legislation and good employment practice.

Promote Transparency

Help employees understand exactly how tips are collected, allocated and distributed within your organisation.

Build Trust Within Your Team

Clear and consistent tipping arrangements help reduce disputes and improve employee confidence in the fairness of your processes.

Who Is This For?

✔ Restaurants

✔ Cafés

✔ Bars and Pubs

✔ Hotels

✔ Hospitality Employers

✔ Leisure Businesses

✔ Business Owners

✔ HR Managers

✔ Employers managing service charges and gratuities

File Format

You will receive:

✔ Microsoft Word (.docx) file

✔ Fully editable template

✔ Instant digital download

Compatible with Microsoft Word, Google Docs and other word processing software.

Looking for a Complete HR System?

This policy forms part of the wider KBM Templates HR collection.

For a complete onboarding and compliance solution, explore the New Starter Essentials & Policies Bundle, which includes contracts, onboarding documents, probation templates, compliance tools and essential workplace policies for UK employers.

Licence & Usage

This document is licensed for personal and internal business use only.

You may edit and use the policy within your organisation but may not:

✔ Resell

✔ Redistribute

✔ Share externally

✔ Upload for public use

All content is copyright © KBM Templates.

Legal Disclaimer

This document provides general HR guidance based on UK employment legislation and HR best practice. It does not constitute legal advice. Employers should seek professional advice where required for specific workplace situations.