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ARTICLE · 19 OCTOBER 2026

Non-competes: Reform Back On The Table

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The UK government is revisiting the contentious issue of non-compete clauses in employment contracts, with the Prime Minister signaling potential reform following international trends and pressure from the tech industry. With options ranging from total bans to duration caps and salary thresholds on the table, businesses face critical decisions about protecting their assets while balancing employee mobility and innovation.

United KingdomEmployment and HR
Hayley Robinson
Hayley Robinson
Kirti Tiwari-Mehta
Kirti Tiwari-Mehta
Matthew Ramsey
Matthew Ramsey

Successive UK governments, both Labour and Conservative, have repeatedly examined the case for reform of the law on non-competes. Those inquiries are part of a wider international move across the common law world, epitomised by the US Federal Trade Commission's (FTC) proposal to ban non-compete provisions outright in most employment arrangements. 

That proposal is on hold following adverse rulings in the US courts. However, in a speech delivered at the Innovation Nation Summit in Manchester on 9 October 2026, the Prime Minister appeared to signal support for reform in the UK.

In our previous discussions of the case for reforming non-competes and other post-termination restrictions, we have noted that the business community is divided. Some argue that these provisions encourage innovation by allowing businesses to make full use of their investment in proprietary methodologies and key personnel. Others argue that they stifle innovation by making it harder for skilled people to

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