Which roles use six month notice periods?

Executive directors, senior partners in professional services, financial services trading and portfolio roles, NHS Very Senior Managers, Senior Civil Service Pay Bands 2 and 3, and Vice-Chancellors. Six months reflects the value placed on continuity and the difficulty of replacement at senior level.

Can six months be shortened by PILON?

Yes if the contract has a PILON clause or by mutual agreement. Senior PILON is unusually large (six months of basic pay) and heavily negotiated at exit, often as part of a settlement agreement structured to optimise tax treatment.

What restrictive covenants apply after six months notice?

Senior contracts routinely include non-compete (6-12 months), non-solicit (12-24 months) and non-poach (12-24 months) covenants. UK courts enforce these only where reasonable in scope, duration and geographic reach. Take specialist legal advice.

How is bonus treated at six months notice?

Contractual bonuses accrued to the leaving date are usually payable pro rata. Discretionary bonuses are usually withheld on resignation but often negotiated back into an exit settlement. Unvested LTIP awards usually lapse. Take independent advice on the package.

Six Month Notice Period (UK 2026): Senior + Executive Contracts

Roles that use six months

Executive directors, CEOs, CFOs and PLC board members.
Senior partners in law, accountancy and consulting firms.
Financial services trading, portfolio and senior investment roles.
NHS Very Senior Managers (VSM) and some senior consultants.
Senior Civil Service Pay Bands 2 and 3.
Universities Executive Group and Vice-Chancellor roles.
Newspaper editors and senior media executives.

Six months reflects the value the employer places on continuity and the difficulty of replacing senior talent. It also serves as a de facto non-compete: garden-leaving someone for six months keeps them out of the market.

Worked example dates

Six calendar months from the date the employer receives written resignation:

Resignation on 15 January → final working day 14 July.
Resignation on 31 March → final working day 30 September (Sep has 30 days).
Resignation on 30 September → final working day 30 March next year.
Resignation on 31 August → final working day 28 February next year (Feb clamp).

Use the notice period calculator for any date combination and the final working day calculator for weekend and bank holiday rollback.

Garden leave is almost universal at six months

Senior six month contracts almost always contain a garden leave clause. In practice, most senior resignations trigger immediate garden leave: you clear your desk on the resignation date and stay at home for the six months on full pay. The rationale:

Prevents ongoing access to confidential information.
Prevents client and staff solicitation while still employed.
Keeps you out of the market for the duration (a soft non-compete).
Simplifies handover - your successor gets clear operational responsibility from day one.

Garden leave is contractual; without a clause, the employer cannot impose it. See garden leave explained and the garden leave calculator.

Non-compete and restrictive covenants

Six month contracts routinely include restrictive covenants that survive beyond the notice period. Typical covenants:

Non-compete: 6-12 months post-termination in named markets or sectors.
Non-solicit: 12-24 months on named clients or client categories.
Non-poach: 12-24 months on staff or team members.
Confidentiality: unlimited on trade secrets, defined periods on other material.

UK courts enforce restrictive covenants only where they are reasonable in scope, duration and geographic reach. The classic test is that the covenant protects a legitimate business interest without being wider than necessary. See working for a competitor during notice period.

PILON at senior level

PILON at six months is unusually large. Most senior contracts include a PILON clause but it is used sparingly - the employer's garden leave preference usually wins. When PILON is agreed at exit (often as part of a settlement agreement), the gross figure is six months of basic pay plus (sometimes) pension and benefits value.

Tax: PILON is fully taxed as earnings under the PENP rules. See PILON tax and use the PILON calculator for the gross figure.

Bonus, LTIP and share option treatment

Complex at six months notice. Common patterns in senior contracts:

Contractual bonus for the current year: pro rata for time worked, paid at leaving date or on normal bonus cycle.
Discretionary bonus: usually withheld on resignation, sometimes paid as part of exit negotiation.
Unvested LTIP awards: usually lapse (good leaver/bad leaver treatment applies).
Vested share options: exercisable within a defined window post-termination.

Take independent legal advice on senior compensation package treatment before signing any exit paperwork.

Negotiating an earlier exit

At senior level, exit negotiation is standard. Typical negotiations:

Reducing garden leave in exchange for tighter non-compete undertakings.
Buying out remaining notice with a PILON payment.
Agreeing early release to a specified competitor or role in exchange for defined restrictions.
Structuring PILON, ex-gratia and consultancy retainer to optimise tax treatment (within the £30,000 s.401 allowance for genuinely termination-related sums).

Settlement agreements are the standard vehicle. See what is a settlement agreement? and the settlement agreement calculator.

Financial and career planning during six months

Six months of paid garden leave is a rare opportunity. Practical uses:

Complete the next-role application and interview cycle without pressure.
Take extended annual leave and holiday.
Pursue training, certifications or an MBA-style course.
Consult with career advisers and legal advisers on the exit package.
Model the financial runway with the can I afford to quit calculator and redundancy runway calculator.

For the broader planning framework see career change guide.

Useful calculators

Related guides

Authority pages

Frequently asked questions

Which roles use six month notice periods?: Executive directors, senior partners in professional services, financial services trading and portfolio roles, NHS Very Senior Managers, Senior Civil Service Pay Bands 2 and 3, and Vice-Chancellors. Six months reflects the value placed on continuity and the difficulty of replacement at senior level.
Will I have to work all six months?: Rarely. Senior resignations almost always trigger immediate garden leave. You clear your desk on the resignation date and stay at home for the six months on full pay, still bound by confidentiality and other contract obligations.
Can six months be shortened by PILON?: Yes if the contract has a PILON clause or by mutual agreement. Senior PILON is unusually large (six months of basic pay) and heavily negotiated at exit, often as part of a settlement agreement structured to optimise tax treatment.
What restrictive covenants apply after six months notice?: Senior contracts routinely include non-compete (6-12 months), non-solicit (12-24 months) and non-poach (12-24 months) covenants. UK courts enforce these only where reasonable in scope, duration and geographic reach. Take specialist legal advice.
How is bonus treated at six months notice?: Contractual bonuses accrued to the leaving date are usually payable pro rata. Discretionary bonuses are usually withheld on resignation but often negotiated back into an exit settlement. Unvested LTIP awards usually lapse. Take independent advice on the package.

Sources and further reading

Employment Rights Act 1996, section 86 — Statutory minimum notice.
ACAS: Notice periods — Free, impartial UK employment advice.
ICSA guidance: executive contracts — Institute of Chartered Secretaries and Administrators guidance on executive contracts.
GC100 guidance on executive pay — General Counsel 100 principles on executive contract terms.

General information on senior UK notice periods, not personal advice. Executive exits typically require specialist legal advice on package structure, tax and restrictive covenants.