The UK's Employment Cost Base Is Rising Simultaneously From Multiple Directions
In March 2026, the UK introduced a series of employment-related legislative changes. On 18 March, the Department for Business and Trade increased Employment Tribunal award limits. On March 12, the Upper House advanced the National Insurance Contributions Bill, followed by further progress of the Pension Schemes Bill on March 26. The same month also saw the publication of multiple Statutory Instruments amending provisions of the Employment Rights Act. Taken individually, each of these can appear routine. Taken together, they represent a sustained and coordinated increase in the cost and complexity of employing people in the UK. CEOs who have not yet modelled the aggregate impact of these simultaneous changes on their workforce cost base are operating with incomplete financial information.
The EU's Forced Labour Regulation Is Closer Than Most Businesses Think
On 13 March 2026, developments were recorded in relation to EU forced labour compliance obligations, as the EU Council agreed a negotiating position to streamline reporting obligations in this area. The EU Forced Labour Regulation will prohibit the placing on the EU market of products made using forced labour, and will require businesses to conduct supply chain due diligence. Many organisations remain unaware of the breadth of this obligation — it applies to EU-based companies and to those exporting into the EU market. The Council's agreed negotiating position signals that this regulation is moving towards final form. With negotiations advancing, businesses cannot afford to delay Supply chain risk assessments until the Regulation is formally in force.
Anti-Corruption Obligations Are Being Elevated to EU-Wide Criminal Standard
On 26 March 2026, the European Parliament approved the EU Anti-Corruption Directive, creating harmonised criminal law standards across member states. This is a structural shift. Until now, anti-corruption enforcement across EU member states has varied significantly in scope and severity. The new Directive creates a uniform criminal law baseline, meaning that conduct tolerated or lightly enforced in some jurisdictions will now carry criminal liability across the bloc. For multinationals with operations across EU member states, this requires an immediate review of anti-corruption policies, third-party due diligence processes, and training programmes.
UK AML Obligations Are Being Actively Tightened
In March, UK’s AML framework continues to evolve. On 25 March 2026, the UK HM Treasury laid Money Laundering and Terrorist Financing regulations. Anti-money laundering compliance is moving out of the realm of periodic review and into active legislative update mode. For financial services firms and professional services businesses subject to the UK's AML regime, the message is clear: existing controls and policies must be reviewed against the updated framework, and compliance programmes that have not been refreshed recently are likely to contain gaps.
Building Energy Efficiency Requirements Are Tightening Across the EU
On 27 March 2026, the European Commission published guidance to decarbonise buildings, alongside further energy-efficiency-related developments during the month, indicating that the EU building standards are entering an active implementation phase. For businesses that own, lease, or manage significant property portfolios in the EU, energy efficiency obligations are no longer a matter of future planning — they are a present compliance requirement. CEOs with large real estate footprints, particularly in the hospitality, retail, and logistics sectors, need to assess their exposure to building energy efficiency standards and the capital investment required to meet them.
This content has been prepared based on regulatory and legislative updates identified across UK and EU jurisdictions as of March 2026. It is intended for awareness purposes and does not constitute legal advice.
Take a look at last month’s article: What CEOs are not seeing yet: The hidden regulatory risks building across the UK & EU | DWF Group
