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Every week in our Money blog, we answer questions about your financial problems or consumer disputes. This week, a reader asked if their boss was allowed to take a cut of their tips.

Elliott asked: “Can my boss take a cut of the tips that are shared between the staff if the boss works the shift?”

We spoke to Caroline Walker, managing director at Cavendish Employment Law, to get her thoughts.

First, it’s not quite clear if the boss in question is the owner of the company or an employee themselves.

Caroline says if the manager is an employee and was part of service on a particular shift, it would be reasonable for the tips to be shared with them.

But she adds that if they took tips not related to their service, or against the specific policy of the business, there would be grounds to raise a formal grievance.

Caroline breaks down here what UK employment law says about this topic:

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“Under the Employment (Allocation of Tips) Act 2023 that came in on 1 October, employers have to pass on tips to workers. This legislation prevents employers from keeping any part of the tips for their costs and aims to ensure hospitality workers receive 100% of tips, gratuities and service charges,” she says.

“Prior to this legislation, employers could take 20-30% to cover their costs of the business, including tax, breakages or even staff parties. They also had no rules on when the payments had to be made or any obligation to be transparent over the calculation of the payments.”

Caroline describes the new legislation as a “welcome change”.

The legislation specifically says that, as of the start of October, the employer has to ensure:

  • 100% of tips or service charges are paid to the employee;
  • No deductions at all are permitted for any reason;
  • Tips are distributed to workers/employees no later than the end of the month after it was paid;
  • Tips must only be distributed within the “same place of business” meaning they cannot be pooled and distributed between multiple locations;
  • Agency workers will also have the right to be allocated a share of the tips but this must be paid for by the agency they work for;
  • The employer must also provide a written record of the breakdown of the amount available, proof that tips are paid entirely to the workers/employees and assurance it is paid by the relevant date.

If the employer fails to provide these records, the workers can bring claims in the employment tribunal, Caroline says.

“If the reader believes the employer has previously failed to account for their tips, or particularly if they have failed to comply with these obligations since 1 October, they should submit a formal grievance to the employer setting out their concerns, which the employer will be obliged to investigate and respond to,” she says.

Read more from this series:
‘My workplace is bringing in new clock-in system to pay us by the minute’
‘I waited months for a delivery – then they said I needed to pay another £49 to get it’
‘Should I top up my national insurance?’

“If their response is either not forthcoming, or confirms they have breached these obligations, they will be able to present a claim in the employment tribunal.

“By submitting the formal grievance, the reader will be able to establish whether any tips have been retained and they can include a request for the written confirmation referred to above.

“It is possible, particularly if this is a small employer, that they may not be aware of their obligations and this will provide them with an opportunity to become aware of these obligations.”

This feature is not intended as financial advice – the aim is to give an overview of the things you should think about. Submit your dilemma or consumer dispute via:

  • WhatsApp us here
  • Email moneyblog@sky.uk

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Inside Britain’s largest nuclear weapons site – as scientists race to build a new warhead by the 2030s

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Inside Britain's largest nuclear weapons site - as scientists race to build a new warhead by the 2030s

Vaults of enriched uranium and plutonium to make nuclear bombs are dotted about a secure site in Berkshire along with Anglo-Saxon burial mounds and a couple of lakes.

Surrounded by metal fences topped with barbed wire, much of the nuclear weapons facility at Aldermaston in Berkshire looks frozen in time from the 1950s rather than ready for war in the 21st century.

AWE in Aldermaston
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The AWE site in Aldermaston is one of the UK’s most secure nuclear sites

But a renewed focus on the importance of the UK’s nuclear deterrent means the government is giving much of its nuclear infrastructure a facelift as it races to build a new warhead by the 2030s when the old stock goes out of service.

Sky News was among a group of news organisations given rare access to the largest of Britain’s nuclear weapons locations run by AWE.

AWE in Aldermaston

The acronym stands for Atomic Weapons Establishment – but a member of staff organising the visit told me that the public body, which is owned by the Ministry of Defence, no longer attributes the letters that make up its name to those words.

“We are just A, W, E,” she said.

She did not explain why.

Perhaps it is to avoid making AWE’s purpose so immediately obvious to anyone interested in applying for a job but not so keen on weapons of mass destruction.

AWE in Aldermaston

For the scientists and engineers, working here though, there seems to be a sense of genuine purpose as they develop and ensure the viability and credibility of the warheads at the heart of the UK’s nuclear deterrent, this country’s ultimate security guarantee.

“It’s nice to wake up every day and work on something that actually matters,” said a 22-year-old apprentice called Chris.

Sky News was asked not to publish his surname for security reasons.

Inside a top secret nuclear weapons site

The workforce at AWE is expanding fast, with 1,500 new people joining over the past year.

The organisation has some 9,500 employees in total, including about 7,000 at Aldermaston, where the warhead is developed and its component parts are manufactured.

Designing and building a bomb is something the UK has not needed to do for decades – not since an international prohibition on testing nuclear weapons came into force in the 1990s.

It means the new warhead, called Astrea, will not be detonated for real unless it is used – an outcome that would only ever happen in the most extreme of circumstances as explained in a new podcast series by Sky News and Tortoise called The Wargame.

The last time, Britain test-fired a bomb was at a facility in Nevada in the US in 1991.

With that no longer an option, the scientists at AWE must rely on old data and new technology as they build the next generation of warhead.

This includes input from a supercomputer at the Aldermaston site that uses 17 megawatts of power and crunches four trillion calculations per second.

Another major help is a giant laser facility.

Inside a top secret nuclear weapons site

It is built in a hall, with two banks of long cylinders, lying horizontal and stacked one of top of the other running down the length of the room – these are part of the laser.

The beams are then zapped in a special, separate chamber, onto tiny samples of material to see how they react under the kind of extreme pressures and temperatures that would be caused in a nuclear explosion.

The heat is up to 10 million degrees – the same as the outer edge of the sun.

“You take all those beams at a billionth of a second, bring them altogether and heat a small target to those temperatures and pressures,” one scientist said, as he explained the process to John Healey, the defence secretary, who visited the site on Thursday.

Looking impressed, Mr Healey replied: “For a non-scientist that is hard to follow let alone comprehend.”

John Healey
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Defence Secretary John Healey visited the site on Thursday

The Orion laser facility is the only one of its kind in the world, though the US – which has a uniquely close relationship with the UK over their nuclear weapons – has similar capabilities.

Maria Dawes, the director of science at AWE, said there is a sense of urgency at the organisation about the need to develop and then build the new bomb – which is a central part of the government’s new defence review published in early June.

“You’ve probably read the strategic defence review,” she said.

“There’s very much the rhetoric of this is a new era of threat and therefore it’s a new era for defence and AWE is absolutely at the heart of that and so a sense of urgency around: we need to step up and we need to make sure that we’ve got what our customer needs. Yes, there’s very much that sense here.”

AWE

It means an organisation that has for years been purely focused on ensuring the current stockpile of warheads is safe and works must shift to becoming more dynamic as it pursues a project that will be used to defend the UK long into the future.

In a sign of its importance, the government is spending £15bn over the next four years alone on the programme to build the new warheads.

Part of the investment is going into revamping Aldermaston.

Driving around the 700-acre site, which was once a Second World War airbase, many of the buildings were constructed into the 1950s, 1960s and 1970s.

The construction of new science and research laboratories is taking place.

But bringing builders onto one of the UK’s most secure nuclear sites is not without risk.

Everyone involved must be a British national and armed police patrols are everywhere.

No one would say what will be different about the new bomb that is being developed here compared with the version that needs replacing.

One official simply said the incumbent stock has a finite design life and will need to be swapped out.

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‘Loving father’ shot dead in suspected case of mistaken identity prompts appeal for information

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'Loving father' shot dead in suspected case of mistaken identity prompts appeal for information

The family of a father shot dead in a suspected case of mistaken identity in north London have said he “deserves justice” as they appealed for information.

Mahad Abdi Mohamed, 27, died from a gunshot wound to the head in hospital after he was hit with bullets fired from a stolen Mitsubishi Outlander, which was later found burnt out.

Detectives believe those responsible for his murder had set out to hurt someone else in a “pre-meditated and targeted attack” in Waverley Road, Tottenham, at 8.45pm on Thursday 20 March.

Mr Abdi Mohamed’s younger sister, Amal Abdi Mohamed, 23, said he was a “loving father” to his five-year-old son, who “looked up to him like a superhero”, and was planning to get married in the summer.

Mahad Abdi Mohamed with his sister. Pic: Met Police
Image:
Mahad Abdi Mohamed with his sister, Amal Abdi Mohamed. Pic: Met Police

“He was taken away from us through gun violence,” she said.

“A bullet didn’t just take his life, it tore through our family, through our heart, and it’s truly shocking, it’s devastating, and it’s so senseless, because this type of violence should never be normal.

“It should never be something a family ever has to expect, prepare for, or live with.”

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Mr Abdi’s 26-year-old friend, with whom he had been breaking his Ramadan fast, was also shot in the leg and was treated in hospital for a wound police said was not life-changing.

The Metropolitan Police arrested four men on suspicion of murder, who have been released on bail pending further investigations.

Detectives are appealing for witnesses who saw a silver Mitsubishi Outlander in the area, which was found burnt out in Runcorn Close, the following morning.

A Mitsubishi was found burnt out. Pic: Met Police
A Mitsubishi was found burnt out the following day. Pic: Met Police
Image:
A Mitsubishi was found burnt out the following day. Pic: Met Police

“This tragic event and Mahad’s death, has had a profound impact on the community and all those who loved him. Someone out there knows what happened. And that person, or people, must come forward,” said Detective Chief Inspector Rebecca Woodsford.

“Regardless of how small you think your information is, please share it with us. It could be the missing link we need to secure justice for Mahad and his family.”

Read more from Sky News:
Government whip quits over Starmer’s welfare cuts
Patrols to protect women and girls from violence at concerts

Compensation scheme for Capture victims announced

‘To stay silent is to be complicit’

Many of Mr Abdi Mohamed’s family members were in tears as they visited the scene of his murder as part of the appeal for information.

“My sweet Mahad was the kind of person who could light up a room without even trying,” said his sister.

“His laugh was so loud, and it still echoes in our memories.”

Ms Abdi Mohamed said her brother “was funny, he was honest, and overall he was just a good man” but “wasn’t perfect”.

She said he had “made mistakes but turned his life around” working at Waterloo Station, and part-time at the Tottenham Hotspur Stadium and Royal Ascot as a security guard.

Mr Abdi Mohamed with his mother Zahra Ali Seef. Pic: Met Police
Image:
Mr Abdi Mohamed with his mother, Zahra Ali Seef. Pic: Met Police

“How do you look at a child who adored him day and night, and tell them that he’s gone and you don’t have the answers why? That boy will have to grow up with no dad,” she said.

“If you think you may know anything or have seen anything – you may think it doesn’t matter, but it might be the key to giving us an answer, and it might be the thing that finally lets our family take a breath.

“To stay silent is to be complicit.

“To stay silent is to let a grieving mother suffer in confusion. To stay silent is to let a little boy grow up not knowing what happened to his father.

“If you know something and you haven’t come forward, please think about that. Think about a family that cannot begin to heal because the truth is still hiding in the shadows. My brother deserves better. He deserves justice.”

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Post Office Capture scandal: Sir Alan Bates calls for those responsible for wrongful convictions to be ‘brought to account’

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Post Office Capture scandal: Sir Alan Bates calls for those responsible for wrongful convictions to be 'brought to account'

Sir Alan Bates has called for those responsible for the wrongful convictions of sub postmasters in the Capture IT scandal to be “brought to account”.

It comes after Sky News unearthed a report showing Post Office lawyers knew of faults in the software nearly three decades ago.

The documents, found in a garage by a retired computer expert, describe the Capture system as “an accident waiting to happen”.

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Post Office: The lost ‘Capture’ files

Sir Alan said the Sky News investigation showed “yet another failure of government oversight; another failure of the Post Office board to ensure [the] Post Office recruited senior people competent of bringing in IT systems” and management that was “out of touch with what was going on within its organisation”.

The unearthed Capture report was commissioned by the defence team for sub postmistress Patricia Owen and served on the Post Office in 1998 at her trial.

It described the software as “quite capable of producing absurd gibberish” and concluded “reasonable doubt” existed as to “whether any criminal offence” had taken place.

Ms Owen was found guilty of stealing from her branch and given a suspended prison sentence.

She died in 2003 and her family had always believed the computer expert, who was due to give evidence on the report, “never turned up”.

Pat Owen and husband David
Screengrabs from Adele Robinson i/vs with case study. Family of Pat Owen from Kent who was convicted of 1998 from stealing from her post office branch. Now the Capture IT system is suspected of adding errors to the accounts. 
Source P 175500FR POST OFFICE CAPTURE CASES ROBINSON 0600 VT V2 JJ1
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Patricia Owen (right) was convicted in 1998 of stealing from her post office branch. She died in 2003


Adrian Montagu reached out after seeing a Sky News report earlier this year and said he was actually stood down by the defending barrister with “no reason given”.

The barrister said he had no recollection of the case.

Victims and their lawyers hope the newly found “damning” expert report, which may never have been seen by a jury, could help overturn Capture convictions.

Read more: Post Office scandal redress must not only be fair – it must be fast

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What is the Capture scandal?

‘These people have to be brought to account’

Sir Alan, the leading campaigner for victims of the Horizon Post Office scandal, said while “no programme is bug free, why [was the] Post Office allowed to transfer the financial risk from these bugs on to a third party ie the sub postmaster, and why did its lawyers continue with prosecutions seemingly knowing of these system bugs?”

He continued: “Whether it was incompetence or corporate malice, these people have to be brought to account for their actions, be it for Capture or Horizon.”

More than 100 victims have come forward

More than 100 victims, including those who were not convicted but who were affected by the faulty software, have so far come forward.

Capture was used in 2,500 branches between 1992 and 1999, just before Horizon was introduced – which saw hundreds wrongfully convicted.

The Criminal Cases Review Commission (CCRC), the body responsible for investigating potential miscarriages of justice, is currently looking at a number of Capture convictions.

A CCRC spokesperson told Sky News: “We have received applications regarding 29 convictions which pre-date Horizon.
25 of these applications are being actively investigated by case review managers, and two more recent applications are in the preparatory stage and will be assigned to case review managers before the end of June.

“We have issued notices under s.17 of the Criminal Appeal Act 1995 to Post Office Ltd requiring them to produce all material relating to the applications received.

“To date, POL have provided some material in relation to 17 of the cases and confirmed that they hold no material in relation to another 5. The CCRC is awaiting a response from POL in relation to 6 cases.”

A spokesperson for the Department for Business and Trade said: “Postmasters negatively affected by Capture endured immeasurable suffering. We continue to listen to those who have been sharing their stories on the Capture system, and have taken their thoughts on board when designing the Capture Redress Scheme.”

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