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UK reward metrics · Governance & Transparency

What percentage of UK organisations have pay progression basis outside the annual review in place?

Source lumi HRBase 267 organisationsFieldwork 2026 H1

19.9%in place

19.9% of organisations in the lumi HR community have pay progression basis outside the annual review in place (base: 267 UK organisations, 2026 H1).

Figures describe organisations in the lumi HR community, not a random sample of UK employers.

How UK organisations answered

Primarily performance-led 5.6% Primarily tenure/service-led 7.1% Combination 7.1% Not defined 80.1%
Pay progression basis outside the annual review (base: 267 organisations, 2026 H1). Percentages may not sum to 100 because of rounding.
Pay progression basis outside the annual review: share of organisations by answer
AnswerShare of organisations
Primarily performance-led5.6%
Primarily tenure/service-led7.1%
Combination7.1%
Not defined80.1%

Definition

What drives pay progression between annual reviews and promotions, whether performance- or tenure/service-led. See the methodology for how the base is built, how not-applicable answers are handled, the public floor, and which organisations are excluded.

Read more

Cite this figure
Source: lumi HR, UK Reward Metrics, September 2026, lumihr.co.uk/metrics/pay-progression-basis-outside-the-annual-review
Last updated 19 September 2026 · Data licence: CC BY 4.0 for the figures in the CSV download.

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