By Harry Freemantle

BUSINESSES can no longer take customer tips from staff following the UK Government’s new law on how tips should be distributed.

Around three million staff in hospitality such as waiting and bar staff will benefit from this new legislation with the aim to put £200 million back into the pockets of workers.

Should a business fail to follow the new law, an employee may claim an employee tribunal however businesses may face problems in terms of increased taxes within this new law.

Director of Willie Wastles in Ayr, Colin Laker, said: “We have always given our employees 100% of all tips”

Colin said: ‘This new legislation puts another layer of bureaucracy on the business anymore tax on our hard working employees.

“It is just another tax raid on the hospitality industry from the Westminster government which we don’t need.”

Minister of Employment Rights Justin Madders said: “When you tip someone for good service, you expect them to keep all their tip. They did the work – they deserve the reward. 
 
“This is just the first step of many in protecting workers and placing them at the heart of our economy. We will be introducing further measures on tipping to ensure workers get their fair share of tips.”