# What percentage of UK employers have a documented total reward strategy?

> In the 2026 lumi reward benchmark, 22.9% of UK employers have a documented total rewards strategy and 59.4% are developing one (n = 249).

Source: https://lumihr.co.uk/research/reward-strategy-communication-2026
Author: David Whitfield (https://lumihr.co.uk/about/david-whitfield)
Answers: What percentage of UK employers have a documented total reward strategy?
Data: lumi reward benchmark · national · collection window 2026 H1
Review by: when the next collection window closes

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*lumi research · Collection window 2026 H1 · By David Whitfield*

**In the lumi reward benchmark, 22.9% of UK employers have a documented total rewards strategy, 59.4% have one in development and 17.7% have none (n = 249, 2026 H1).**

> **Key findings**
> - 22.9% of UK employers have a documented total rewards strategy that integrates pay, benefits, wellbeing and career (n = 249). "In development" is the common answer, at 59.4%.
> - 38.5% last refreshed or formally reviewed their total rewards strategy 25–36 months ago, the common answer (n = 252). 11.9% did so within the last 12 months.
> - Base pay is the element most often named as explicitly covered by the strategy, at 47.1% (n = 257). Career development and recognition follow, at 44.4% each.
> - 19.7% have a documented annual reward and benefits communication plan (n = 264). "Partially" is the common answer, at 65.5%.
> - Open and click metrics are the method most often used to measure whether reward communications work, at 55.4% (n = 240). 7.5% have no formal measurement.
> - 47.9% measure reward communications through employee survey questions and 48.8% through focus groups (n = 240).

## About the data

This paper reports how UK employers answered lumi's questions on reward strategy and communication. Its figures are the ones lumi publishes in its UK reward metrics, from the lumi reward benchmark. Data was collected in the 2026 H1 collection window. Each figure gives its base (n): the number of organisations that answered that question. Percentages are rounded to one decimal place, so a distribution can add up to 100.1%. Figures here are national. Sector and size comparisons are available to lumi members. See [how lumi works](/methodology) for the method.

## The legal context

Whether an employer has a reward strategy, and how it communicates reward, is not set by statute.

## Do UK employers have a documented total reward strategy?

*Does your organisation have a documented total rewards strategy that integrates pay, benefits, wellbeing and career (or equivalent pillars)?* (n = 249). "In development" is the common answer, at 59.4%. "Yes" is an alternative, at 22.9%. "No" is rare, at 17.7%. Adding the first two, 82.3% either have a documented strategy or are developing one (22.9% + 59.4%).

The question sets a specific bar. It asks about a strategy that is written down and that brings pay, benefits, wellbeing and career together, or the employer's own equivalent of those pillars. An organisation can have reward policies for each element, and a clear sense of how they fit, without holding one document that joins them up. The question does not ask how long a strategy has been in development, or what is holding it back.

A documented strategy gives reward decisions a reference point. When a benefit is added, a bonus plan is redesigned or a pay structure is reviewed, the decision can be tested against what the strategy says reward is for. Without one, each decision is made on its own terms. That can be quicker, and it can keep reward close to the needs of each part of the business, but it leaves the relationship between the elements implicit.

## How recently have UK employers reviewed their reward strategy?

*When was your total rewards strategy last refreshed or formally reviewed?*

| Answer | % of base (n = 252) |
|---|---|
| 25–36 months ago | 38.5% |
| 12–24 months ago | 22.6% |
| More than 3 years ago | 18.7% |
| Within last 12 months | 11.9% |
| No formal strategy / not reviewed | 8.3% |

"25–36 months ago" is the common answer. "12–24 months ago" is an alternative. "More than 3 years ago", "Within last 12 months" and "No formal strategy / not reviewed" are all rare. 34.5% reviewed their strategy within the last 24 months (11.9% + 22.6%). Including the third year, the figure is 73.0% (11.9% + 22.6% + 38.5%). 27.0% last reviewed it more than 3 years ago or have no formal strategy (18.7% + 8.3%).

This question and the documented strategy question are worded differently. One asks whether a strategy is documented and integrated. The other asks when a strategy was last refreshed or formally reviewed, and offers "No formal strategy" as one answer among five. Answers in this paper are not linked across questions, so the data cannot show how many employers with a strategy in development also reported a review date.

The review interval is a trade-off. A strategy reviewed every year stays close to the business plan, the labour market and changes in the law, but each review takes time from the same people who run the pay review and the benefits renewal. A strategy left for three years or more gives reward decisions a steady reference point, and its assumptions may have moved in the meantime.

## What does a UK total reward strategy cover?

*Which elements does your total reward strategy explicitly cover?* Organisations could choose more than one answer, so the figures add up to more than 100%.

| Answer | % of base (n = 257) |
|---|---|
| Base pay | 47.1% |
| Career development | 44.4% |
| Recognition | 44.4% |
| Flexible / personalised benefits | 40.5% |
| Equity / long-term incentives | 39.7% |
| Variable pay / incentives | 38.1% |
| Benefits (health/wealth) | 37.4% |
| Wellbeing programmes | 33.9% |
| None / no formal total rewards strategy | 3.1% |

Every element listed was named by between 33.9% and 47.1% of organisations. Base pay is named most often. Wellbeing programmes are named least often of the listed elements. 3.1% chose "None / no formal total rewards strategy".

The word "explicitly" matters. An element left out of the strategy may still be offered, and may be generous. What the question measures is whether the strategy names it. Naming an element makes it part of what the strategy is judged against: a change to it becomes a strategy question rather than a stand-alone purchase or policy decision.

Breadth is a design choice. A strategy that covers every element gives one account of reward to employees and one test for every decision. A narrower strategy is easier to keep current and to explain, and leaves the other elements to their own policies and budgets. The data does not record how organisations weigh the elements against each other.

## Do UK employers plan their reward communications?

*Do you have a documented annual reward/benefits communication plan (e.g., pay review comms, benefits comms, wellbeing comms)?* (n = 264). "Partially" is the common answer, at 65.5%. "Yes" is rare, at 19.7%, as is "No", at 14.8%. Adding the first two, 85.2% have a documented plan in full or in part (19.7% + 65.5%).

The question's examples show what an annual plan can hold: pay review communications, benefits communications and wellbeing communications. A full plan sets all of them out across the year. The data does not record which parts a partial plan covers.

A single annual plan lets an employer space its messages, so that pay review letters, benefits renewal and wellbeing campaigns do not reach employees in the same week. It also puts the year's reward messages in one place, where they can be checked against each other. Separate plans for each stream let each owner move at the pace of their own cycle, and leave the overall sequence to coordination between teams.

## How do UK employers measure whether reward communications work?

*How does your organisation measure the effectiveness of reward/benefits communications?* Organisations could choose more than one answer, so the figures add up to more than 100%.

| Answer | % of base (n = 240) |
|---|---|
| Open/click metrics (email/digital) | 55.4% |
| Other | 53.8% |
| Digital platform usage analytics | 51.7% |
| Call centre/HR query volume | 51.2% |
| Focus groups | 48.8% |
| Employee survey questions | 47.9% |
| No formal measurement | 7.5% |

Open and click metrics are chosen most often, at 55.4%. "Other" is chosen by 53.8%: the data does not record what those methods are. Every named method was chosen by between 47.9% and 55.4% of organisations. 7.5% have no formal measurement.

The methods answer different questions. Open and click metrics and platform analytics show whether a message reached people and whether they acted on it. Query volumes show where a message left people unsure, at the point they asked for help. Survey questions and focus groups ask employees what they understood and what they think, which the other methods cannot, and they take longer to run and analyse.

Each method also has a cost in time and data. Digital measures come largely from systems already in place. Surveys and focus groups need design, an audience and someone to read the results. Query volumes need a helpdesk that records why people called.

## What the data means for reward decisions

The data describes separate choices. Whether to document a reward strategy, how often to review it, what it names, whether to plan communications for the year and how to measure them can each be decided on its own. A rare answer describes a less frequent choice, not a wrong one.

**One document or several.** A documented total rewards strategy joins pay, benefits, wellbeing and career in one account. Separate policies for each element can be quicker to change, and leave the links between them unwritten.

**How often to review.** A short review interval keeps the strategy close to the business and the law. A long one gives a steady reference point, and the assumptions behind it can drift.

**What to name.** An element named in the strategy is judged against it. An element left out is managed on its own terms.

**Reach or understanding.** Digital measures show whether a message reached employees. Surveys, focus groups and query volumes show whether it was understood. Each method sits somewhere between the two, at its own cost.

Questions a head of reward might ask:

- Is our reward strategy written down, and does it join pay, benefits, wellbeing and career, or our own equivalent of them?
- When did we last review it formally, and what would prompt a review before the next one is due?
- Which elements does the strategy name, and how are decisions about the others tested?
- Do our pay review, benefits and wellbeing messages sit in one plan for the year?
- How do we know whether employees understood a reward message, not only whether they opened it?

## Frequently asked questions

**What percentage of UK employers have a documented total reward strategy?**

In the lumi reward benchmark, 22.9% of UK employers have a documented total rewards strategy that integrates pay, benefits, wellbeing and career (n = 249, 2026 H1). 59.4% have one in development and 17.7% have none, so 82.3% either have one or are developing one (22.9% + 59.4%).

**How often do UK employers review their total reward strategy?**

In the lumi reward benchmark, 38.5% of UK employers last refreshed or formally reviewed their total rewards strategy 25–36 months ago (n = 252, 2026 H1). 11.9% did so within the last 12 months and 22.6% 12–24 months ago, so 34.5% reviewed it within the last 24 months (11.9% + 22.6%).

**What does a total reward strategy cover in UK organisations?**

In the lumi reward benchmark, base pay is the element UK employers most often name as explicitly covered by their total reward strategy, at 47.1% (n = 257, 2026 H1). Career development and recognition are named by 44.4% each, and wellbeing programmes by 33.9%.

**Do UK employers have a reward communication plan?**

In the lumi reward benchmark, 19.7% of UK employers have a documented annual reward and benefits communication plan and 65.5% have one in part (n = 264, 2026 H1). 14.8% have none, so 85.2% have a plan in full or in part (19.7% + 65.5%).

**How do UK employers measure the effectiveness of reward communications?**

In the lumi reward benchmark, 55.4% of UK employers use open and click metrics to measure reward and benefits communications (n = 240, 2026 H1). 51.7% use digital platform analytics, 51.2% query volumes, 48.8% focus groups and 47.9% survey questions. 7.5% have no formal measurement.

## Related

- [How to run an annual pay review: process and governance](/guides/how-to-run-annual-pay-review): the steps of a pay review, including how outcomes are communicated.
- [Pay ranges and pay review governance: UK benchmark 2026](/research/pay-review-governance-2026): benchmark data on grades, pay ranges and who signs off pay decisions.
- [Pay transparency and equal pay: UK benchmark 2026](/research/pay-transparency-equal-pay-2026): what UK employers tell employees and candidates about pay.

## Notes

- Base and rounding as described in "About the data".
- No question in this paper has a "Not applicable" answer.
- Bases range from 240 to 264 because not every organisation answered every question.
- Combined figures add the listed percentages for options within one single-choice question, with the parts shown. Options of a multiple-choice question are never added, and no figure combines answers from different questions.
- Every figure here is the one published for the same question in lumi's UK reward metrics, on the same base.

## Data appendix

All national figures used in this paper, as recorded in the lumi reward benchmark (collection window 2026 H1).

**Does your organisation have a documented total rewards strategy that integrates pay, benefits, wellbeing and career (or equivalent pillars)?**  
Base: 249 organisations

| Answer | % of base | Organisations | Prevalence |
|---|---|---|---|
| In development | 59.4% | 148 | common |
| Yes | 22.9% | 57 | alternative |
| No | 17.7% | 44 | rare |

**When was your total rewards strategy last refreshed or formally reviewed?**  
Base: 252 organisations

| Answer | % of base | Organisations | Prevalence |
|---|---|---|---|
| 25–36 months ago | 38.5% | 97 | common |
| 12–24 months ago | 22.6% | 57 | alternative |
| More than 3 years ago | 18.7% | 47 | rare |
| Within last 12 months | 11.9% | 30 | rare |
| No formal strategy / not reviewed | 8.3% | 21 | rare |

**Which elements does your total reward strategy explicitly cover?**  
Base: 257 organisations

| Answer | % of base | Organisations | Prevalence |
|---|---|---|---|
| Base pay | 47.1% | 121 | n/a (multi-select) |
| Career development | 44.4% | 114 | n/a (multi-select) |
| Recognition | 44.4% | 114 | n/a (multi-select) |
| Flexible / personalised benefits | 40.5% | 104 | n/a (multi-select) |
| Equity / long-term incentives | 39.7% | 102 | n/a (multi-select) |
| Variable pay / incentives | 38.1% | 98 | n/a (multi-select) |
| Benefits (health/wealth) | 37.4% | 96 | n/a (multi-select) |
| Wellbeing programmes | 33.9% | 87 | n/a (multi-select) |
| None / no formal total rewards strategy | 3.1% | 8 | n/a (multi-select) |

**Do you have a documented annual reward/benefits communication plan (e.g., pay review comms, benefits comms, wellbeing comms)?**  
Base: 264 organisations

| Answer | % of base | Organisations | Prevalence |
|---|---|---|---|
| Partially | 65.5% | 173 | common |
| Yes | 19.7% | 52 | rare |
| No | 14.8% | 39 | rare |

**How does your organisation measure the effectiveness of reward/benefits communications?**  
Base: 240 organisations

| Answer | % of base | Organisations | Prevalence |
|---|---|---|---|
| Open/click metrics (email/digital) | 55.4% | 133 | n/a (multi-select) |
| Other | 53.8% | 129 | n/a (multi-select) |
| Digital platform usage analytics | 51.7% | 124 | n/a (multi-select) |
| Call centre/HR query volume | 51.2% | 123 | n/a (multi-select) |
| Focus groups | 48.8% | 117 | n/a (multi-select) |
| Employee survey questions | 47.9% | 115 | n/a (multi-select) |
| No formal measurement | 7.5% | 18 | n/a (multi-select) |

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