Acas Early Conciliation 2025–26: What Every Employer Needs to Know

Acas has just published its Annual Report and Accounts 2025 to 2026, covering April 2025 to March 2026. For employers, it's a useful reality check on how early conciliation is performing, how much workplace conflict is rising and what to expect as the Employment Rights Act 2025 beds in.

What is Acas early conciliation, and why should employers care?

Early conciliation (EC) is a free, confidential Acas service. Before an employee can lodge most tribunal claims against your business, they must notify Acas first, and a conciliator contacts both sides to see if the dispute can be settled without a hearing. A case resolved at EC stage typically costs a fraction of a contested tribunal claim in management time, legal fees and reputational risk.

Is it compulsory, and can employers use it proactively?

Yes, notification is compulsory in almost all cases before an employee can bring a claim. Employers can also approach Acas proactively to resolve a brewing dispute before any claim is issued meaning it can useful if you'd rather settle quietly and quickly.

How much has demand grown?

Acas handled over 150,000 early conciliation notifications in 2025–26. This was a 27% increase on the year before, resolving 36% of them directly, a clear signal of rising workplace conflict for businesses to factor into risk planning.

What do the statistics show about tribunal outcomes?

This is the figure that matters most: around 9 in 10 potential tribunal claims notified in 2025–26 were resolved without a hearing, and only 7% of employment tribunal cases that touched Acas ended up in court. Engaging constructively at EC stage is, statistically, very likely to keep a dispute out of the tribunal.

Is early conciliation getting more expensive?

Acas cut the average cost per dispute resolution case by 27%, beating its 20% strategic target. But the direct cost per helpline query rose from £11.50 to £13.45, reflecting increasingly complex queries.

What else should employers know?

Acas's total expenditure was £72.3 million (up from £64.1 million), and it recruited 45 new conciliator posts to keep pace with demand, alongside AI-assisted triage and forecasting tools. Its helpline answered 584,000 calls, and awareness of Acas support among small and medium-sized businesses rose from 83% to 90% over its last strategy period. However both individuals and businesses are experiencing long delays in receiving contact from Acas and sometimes receive no contact at all.

What's changing next?

The Employment Rights Act 2025, phasing in through 2026–27 will drive further, more complex disputes. This will be the case from January 2027 when the right to bring a claim for unfair dismissal will kick in from 6 months service rather than two years. The compensation cap for unfair dismissal claims will also be removed, meaning more unrealistic expectations and negotiations.

Bottom line

Early conciliation still works strongly in employers' favour, 9 in 10 claims resolved without a hearing, 80% of tribunal cases positively resolved, and a 93% success rate in collective disputes. But with notifications up 27% and the Employment Rights Act reforms still landing, now's the time to make sure your contracts and policies are in good shape.

If you receive notification of Acas early conciliation then take early advice on how to negotiate tactically.

If you'd like tailored advice on handling an Acas notification or preparing for the Employment Rights Act 2025, get in touch with Oliver Tasker today:

📞 Call: 01522 776270
✉️ Email: oliver@impactemploymentlaw.co.uk

Impact Employment Law Limited — Advice. Protection. Impact.