Last updated: July 2026
Been handed a settlement agreement by your employer in Liverpool and not sure what to do next? Remember, it’s not legally binding until a solicitor has independently advised you on it. Our employment solicitors go through the document with you line by line, flag anything that’s unfair or unclear, and can help you sign it off quickly if the deal is right. There’s normally nothing for you to pay, since your employer covers the advice as a condition of the deal being valid. Everything is done over the phone or by video call, and we can often turn things around the same day.
Call 0800 861 1883 or start your settlement online to get moving.
What happens once you get in touch
- Send over the agreement. Email it to us and we’ll fix a time to talk it through, often within hours, not days.
- Get it explained properly. Your solicitor walks you through what you’re giving up and what you’re getting.
- Sign electronically when you’re happy. Your solicitor countersigns the adviser certificate the law requires.
- Your employer pays. The settlement sum is released according to the agreed schedule.
Settlement Agreements, Explained
A settlement agreement ends the employment relationship by mutual consent. It typically includes a payment from employer to employee in return for the employee giving up the right to bring specified claims. The Employment Rights Act 1996 sets the conditions for this to be binding: the agreement must be in writing, must relate to a particular complaint or proceedings, and the employee must have taken advice from an independent, qualified adviser before signing. Older agreements of this kind were called compromise agreements.
Liverpool’s Job Market Right Now
Liverpool’s economy has shifted a long way from its historic reliance on the docks, though the Port of Liverpool remains one of the city’s biggest employers and a major logistics gateway. Healthcare is now the single largest source of jobs in the city, led by Liverpool University Hospitals NHS Trust, and the city has built a genuine knowledge economy around its Knowledge Quarter and Baltic Triangle districts. Now, digital, creative and life sciences firms sit alongside longstanding public sector employers like Liverpool City Council. Retail, distribution and logistics remain significant too, with national employers including Amazon, DHL, Royal Mail and Evri all operating large sites in and around the city.
That range of sectors means the settlement agreements in Liverpool can cover a lot of ground, from redundancy in logistics and retail to restructuring in the public sector and exit negotiations in the city’s growing digital and life sciences firms. Whatever your employer does, if you’ve been offered a settlement agreement we can get you advice quickly.
There’s also a national change that’s happening: if your agreement includes a confidentiality clause: reforms under the Employment Rights Act 2025 will restrict how NDAs can be used in settlement agreements, following a consultation that closed in July 2026. We’ve written a full explainer on what’s changing.
Questions Liverpool Clients Ask Us Most
Will I have to come into an office anywhere in Liverpool? No — every consultation is done by phone or video, which tends to be quicker to arrange and just as thorough as sitting across a desk from someone.
Who actually pays for the advice? Your employer does, in almost all cases, because the law requires you to get independent advice before the agreement can take effect. The contribution towards legal fees typically forms part of the settlement, and we won’t charge more than that. Our cost promise sets out exactly how this works.
Is there a deadline to sign? Acas guidance points to around 10 days as a reasonable minimum for you to consider the offer properly. If you’re being rushed faster than that, let us know.
What happens to the confidentiality clause if I’ve raised concerns about harassment or discrimination? Under incoming Employment Rights Act 2025 reforms, NDAs won’t be able to silence workers on harassment or discrimination, subject to limited exceptions with safeguards like independent advice and a cooling-off period. Read the detail here.
Do I need to have already lodged a tribunal claim? No. Most settlement agreements are negotiated and signed before anyone gets near a tribunal. If a claim from Liverpool does go that far, it’s heard at the Liverpool Civil and Family Court, 35 Vernon Street, Liverpool L2 2BX (administered by the Manchester Employment Tribunal office).
Is the money I receive tax-free? Only part of it, typically. Our guide to settlement agreement tax breaks down what’s usually taxable and what isn’t.
Key points to know
A settlement agreement that hasn’t had proper independent legal advice behind it is not worth the paper it’s written on — under the Employment Rights Act 1996, that advice is a condition of the agreement being enforceable at all, regardless of how comprehensive its terms look. See our full settlement agreement guide.
Protected conversations under section 111A of the Employment Rights Act 1996 let employers and employees discuss exit terms candidly without the conversation being used against either side in a standard unfair dismissal claim — though this protection doesn’t reach claims involving discrimination or whistleblowing.
Legal Disclaimer
The contents of this article are intended to be for general information purposes only and do not amount to (nor are they intended to be) legal, tax or financial advice or a complete or authoritative statement of the law nor should they be treated as such. No warranty or promise is given, express or implied, as to accuracy of the information on this page and no liability is accepted for any error or omission. You should instruct a specialist employment solicitor to advise you on your particular situation and not act or rely on the information on this page.
Talk to a solicitor today
Call 0800 861 1883 or request a call back for a confidential conversation about your settlement agreement.
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