Employer declining to allow Salary Sacrificing of Accrued Holiday (Redundancy)

MaidaVale3499

I'm in the finalisation stages of a redundancy which has a number of monetary components eg the redundancy payment (under tax free £30k), PILON and accrued holiday. 

(Throughout my 12 year employment I had taken up the opportunity to use the employee benefit of salary sacrificing EE 6% contribution to gain 14% ER contribution and in addition I also made by SS additional large AVCs ....all with no problem and of course my employer was saving a huge amount of corp NI costs (sadly not shared with me)

During the redundancy consultation I checked in with my company pension scheme's Secretary to the Trustees and also the Company Staff Adviser (I work for a finance institution that runs its own DC pension scheme)....and asked what components of my "final monies" I would be able to SS....ie be compliant to HMRC annual allowance but also within my company's DC scheme rules.  Both confirmed that so long as the SS was actioned before my employment was terminated and that I had not exceeded hmrc allowances that SSing accrued holiday was permissable.

However...HR dept has advised me that though I can SS Pilon.....that I cannot SS my banked/accrued holiday.  I've emailed asking for explanation and request to discuss....
I've quoted the previous info from staff adviser and Secretary to Trustees (who I've also emailed this morning).

Edit:  I did wonder if the reason was anything to do with minimum of holiday having to be taken ie employment law .....(but sadly I was on sick leave 1st Aug 2023 to 12th Jan 2024 I was not able to take holiday ie hence I've accrued an almost  full year of annual leave employer's annual leave calender runs April to March).....but I can't see how there is a difference in paying employee gross for accrued holiday versus allowing them to salary sacrifice?

So, anyone have any thoughts as to why HR would be saying I can't SS Accrued holiday.  The gross figure if which is c£8k..... 

Thanks

BoGoF

Legally you must take 20 days statutory holidays a year or in exceptional case be paid for that leave. By opting for salary sacrifice you are not being paid for it, sacrificing is giving up the right to it which you can't do.