Sexual harassment prevention duties are changing this October

21 Jul 2026

Guidance from an HR consultant in Edinburgh on what the new sexual harassment prevention rules mean for your business and how to prepare before October 2026.

If you’re running a small business, you’ve almost certainly got a harassment policy somewhere in your files.

From October 2026, that policy on its own won’t protect you if an employee brings a claim.

The law is shifting, and the standard you’ll be held to is higher than it used to be.

As an HR consultant, I’m already seeing businesses that assume they’re covered when they’re not.

Let me walk you through what’s changing and what you need to do about it.

How the law has evolved over time

The legal landscape around sexual harassment prevention has moved quite a bit in recent years, and it’s worth understanding the trajectory.

Under the original Equality Act 2010, employers could generally defend themselves by pointing to a policy they had in place. That was often enough. If you had something written down, you were in a reasonable position.

Then in 2024, the Worker Protection (Amendment of Equality Act 2010) Act 2023 came into force. It placed a proactive duty on employers to take “reasonable steps” to prevent sexual harassment. So the expectation moved from having a policy to actually doing something with it.

From October 2026, the bar rises again. The requirement shifts from “reasonable steps” to “all reasonable steps”. That single word makes a meaningful difference to what you’ll need to demonstrate.

Why “all reasonable steps” matters more than you might think

The shift from “reasonable” to “all reasonable” steps might look like a small change in wording. In practice, it changes what a tribunal will expect from you.

Previously, showing that you’d taken some sensible measures could be enough. Under the new standard, you’ll need to show that you considered the full range of steps available to you and acted on them. A gap in your approach could be the thing that counts against you.

There’s another significant element to be aware of. The updated rules introduce liability for third-party harassment. If someone outside your organisation, such as a client, customer or contractor, harasses one of your employees, you could be held responsible if you haven’t taken steps to prevent it.

Consider any roles in your business where staff interact with external people. Sales teams, those working on client sites, anyone in hospitality or events, or staff who deal with the public. These roles now carry real legal exposure if you haven’t assessed the risks.

The financial risk of getting it wrong

Tribunals have the power to add a 25% uplift to compensation awards where an employer hasn’t met the preventative duty. That uplift sits on top of the underlying award itself.

If the original claim is substantial, that additional 25% can represent a significant amount of money. For a small business, that kind of financial hit can be seriously damaging.

What you actually need to have in place

Meeting the “all reasonable steps” standard requires more than good intentions. You need tangible, documented evidence that you’ve acted. Here’s what that looks like in practice.

• An up-to-date policy that your team has engaged with
  It’s not enough to have a policy sitting in a shared drive. Your staff need to have read it and acknowledged it. You should have a record of that acknowledgement. The policy itself needs to specifically address third-party harassment, given the new rules.
• Trained managers who know how to respond
  When something is reported, your managers need to know what to do. Not in a vague sense, but with proper training behind them. If a manager handles a complaint poorly because they’ve never been shown how, that reflects on you as the employer.
• Clear reporting routes that your employees are aware of
  Your people need to know how to raise a concern. The reporting process should be visible and accessible. If employees don’t know the route exists, it doesn’t serve its purpose.
• A written risk assessment with evidence of follow-through
  You need a documented risk assessment that covers the specific risks in your business, particularly for roles where staff interact with people outside your organisation. But the assessment alone isn’t enough. You also need to show what actions you took as a result of it. A risk assessment that sits in a folder and leads to no changes won’t help you defend a claim.

Questions worth asking yourself before October

Take a moment to consider where your business stands on these points:

• Does your current policy reference harassment by third parties, or does it only cover internal behaviour?
• Could you produce evidence that your employees have read and acknowledged your policy?
• Have your managers received any formal training on responding to harassment complaints?
• If an employee wanted to report something today, would they know exactly how to do it?
• Do you have a written risk assessment for roles where staff regularly interact with clients or the public?

If you’re unsure about any of those, there’s work to do before October 2026. That’s okay. The important thing is to start now rather than wait until a claim forces the issue.

How HR consultancy services in Edinburgh can support you

I carry out sexual harassment prevention audits that look at where your business currently sits against the “all reasonable steps” standard. The audit covers your policy, your reporting process and your risk exposure in situations involving third parties.

I also deliver manager training so that your team is equipped to handle complaints properly from the outset. Getting this right from the start can make a real difference to the outcome for everyone involved.

Let’s have a conversation

If you’re reading this and realising there are gaps, please don’t worry. You’ve still got time to get things in order.

As an outsourced HR consultant in Edinburgh, I’m here to help you work through this in a way that feels manageable and practical.

I’d love to have a chat about what this looks like for your specific business. You can book a discovery call with me and we’ll talk through your situation together.

Getting ahead of this now will save you time, stress and potentially a lot of money further down the line.