Name: End of fixed term contract letter template | Aug 26
Brand: HRDocBox
SKU: HRDBOX-373
Price: 14.99 GBP
Availability: InStock

What's included in this template?

This template brings together the key information, sections and considerations you need to create a clear, comprehensive and professional HR document. Preview the document below.

Fixed-term contract end date
Reason and confirmation of the contract ending
Final pay and holiday arrangements
Benefits and Company property
Leaving arrangements
Relevant employee rights and next steps

Specifications

Template

[Sender name]

[Sender address]

[date]

[Recipient name]

[Recipient address]

Dear [Recipient first name],

End of Fixed Term Contract

I am writing to confirm that your fixed-term contract with [Company Name] will come to an end on [Contract End Date], in accordance with the terms of your employment.

Your employment with the Company will therefore end on [Contract End Date].

[Where appropriate: Your fixed-term contract was originally agreed for the purpose of [reason, project, temporary cover or other basis], and this arrangement will conclude on the date stated above.]

Final pay and holiday

You will

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What is an end of fixed term contract letter?

End of fixed term contract letter template preview

An End of Fixed Term Contract Letter formally confirms that an employee's fixed-term employment will end when the agreed contract period, project, task or other specified arrangement comes to an end. It provides the employee with a clear written record of the end date and the practical arrangements that follow.

The letter can also confirm final pay, holiday, benefits, Company property and handover arrangements, giving the employee a clear understanding of what happens as their employment comes to an end.

What is it used for?

The letter is used to communicate the employer's position clearly when a fixed-term contract is reaching its agreed end. It is particularly useful where the employer does not intend to renew the contract and wants to provide a professional written confirmation.

It can also help ensure that final payroll and leaving arrangements are communicated consistently rather than relying solely on an informal conversation.

Who should use it?

The template is suitable for employers, HR professionals and managers responsible for fixed-term employees. It can be adapted for contracts covering temporary work, project roles, maternity or other family leave cover and other defined periods of employment.

What should employers consider before issuing it?

Employers should check the employee's contract, the reason for the fixed-term arrangement and the intended end date before issuing the letter. Where a contract is not being renewed, this can amount to a dismissal, so the employer should consider the employee's service, the reason for non-renewal and whether a fair process is required.

The employer should also check whether the employee has any particular rights arising from their length of service, contractual terms or circumstances before confirming the end of employment.

Example

An employee is employed on a 12-month fixed-term contract to provide additional project support. Their contract states that employment will end on 31 October unless the Company agrees to renew it.

The project is nearing completion and the Company has decided that the role is no longer required. HR reviews the contract and confirms the agreed end date, the employee's holiday balance and final payroll arrangements.

The employee is given an End of Fixed Term Contract Letter confirming that their employment will end on 31 October. The letter explains the final pay arrangements, outstanding holiday and arrangements for returning Company equipment.

Because the employee has sufficient service for unfair dismissal protection, HR also considers the legal implications of the non-renewal and ensures that the appropriate process and reason for the decision have been addressed before confirming the outcome.

The wider HR process

Related HR resources and workflow

Explore the HR resources that may be relevant before and / or after using the End of fixed term contract letter, helping you understand the wider process, maintain appropriate documentation and follow a consistent approach.

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End of fixed term contract letter

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Implementation guidance

Use these best practice actions, recommended timescales and process stages to understand when and how the End of fixed term contract letter should be used, helping ensure each step is handled consistently and appropriately documented.

Step	Description	Responsibility	Timing (Days from Issue)
1	Review the Contract: Check the employee's fixed-term agreement, agreed end date, reason for the fixed term and any provisions relating to notice, renewal or early termination.	HR / Management	Day -21 to Day -14
2	Assess the Position: Confirm whether the contract is genuinely reaching its agreed end and consider whether non-renewal creates any dismissal, redundancy or other employment-law considerations.	HR / Management	Day -14 to Day -7
3	Calculate Final Entitlements: Confirm salary, accrued holiday, benefits, expenses and any other payments or deductions that will need to be dealt with when employment ends.	HR / Payroll	Day -7 to Day -3
4	Issue the Letter: Meet with the employee where appropriate and provide the written confirmation of the contract end date and relevant leaving arrangements.	Manager / HR	Day 0
5	Complete the Leaving Process: Arrange the handover, return of Company property, final payroll, benefits administration and appropriate employment records.	HR / Manager / Payroll	Day 1 to End Date

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Common mistakes

Understand the common mistakes to avoid when using this HR template, helping you reduce risk, prevent unnecessary costs and ensure the process is handled correctly.

Assuming that every fixed-term contract can simply end without considering dismissal rights.
Failing to check the contract before confirming the end date or any notice requirements.
Describing a redundancy situation as a straightforward contract expiry.
Failing to consider unfair dismissal or other employment rights where the employee has sufficient service.
Calculating final holiday or other payments incorrectly.
Allowing an employee to continue working beyond the contractual end date without formally addressing the position.

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HR considerations

UK employment law and best practice

This template is designed to support the process, but the document should be used alongside the relevant HR procedure and applied to the circumstances of the individual case.

Fixed-term employees have specific employment rights, and an employer should not assume that allowing a contract to reach its stated end date removes the need to consider the wider employment-law position. GOV.UK confirms that fixed-term contracts normally end automatically at their agreed end date, but non-renewal can constitute a dismissal. (https://www.gov.uk/fixed-term-contracts/renewing-or-ending-a-fixedterm-contract)

End of the agreed contract

Where a fixed-term contract genuinely reaches its agreed end date, GOV.UK states that the contract will normally end automatically and the employer does not have to give notice. However, the position can be different where the contract contains provisions for early termination or where the employee continues working beyond the stated end date. (https://www.gov.uk/fixed-term-contracts/renewing-or-ending-a-fixedterm-contract)

Employers should therefore check the actual contractual wording rather than treating every fixed-term arrangement as automatically ending in exactly the same way.

Non-renewal can be a dismissal

GOV.UK confirms that where a fixed-term contract is not renewed, this is considered a dismissal. Employees with the relevant length of service may therefore have protection against unfair dismissal and the employer should have a fair reason and follow a fair process where required. (https://www.gov.uk/fixed-term-contracts/renewing-or-ending-a-fixedterm-contract)

ACAS identifies the ending of a fixed-term contract as an example of a potential "some other substantial reason" dismissal, although the employer still needs to consider whether the dismissal is fair in the circumstances. (https://www.acas.org.uk/dismissals/types-of-dismissal)

Redundancy rights

A fixed-term employee can have redundancy rights. GOV.UK confirms that fixed-term employees with at least 2 years' continuous service have the same redundancy rights as permanent employees, and they may be entitled to statutory redundancy pay where the reason for non-renewal is redundancy. (https://www.gov.uk/fixed-term-contracts/employees-rights)

Employers should therefore avoid describing a non-renewal as simply an administrative expiry where the underlying reason is actually redundancy.

Notice and early termination

If an employer wants to end a fixed-term contract before its agreed end date, the contractual terms need to be checked carefully. GOV.UK explains that if the contract does not allow early termination, ending it early may amount to a breach of contract. (https://www.gov.uk/fixed-term-contracts/renewing-or-ending-a-fixedterm-contract)

Where notice is required, employees are entitled to at least the applicable statutory minimum notice, unless a longer contractual period applies. ACAS confirms that the statutory minimum depends on length of service. (https://www.acas.org.uk/notice-periods/notice-when-being-dismissed-or-made-redundant)

Equal treatment

Fixed-term employees must not generally be treated less favourably than comparable permanent employees without objective justification. GOV.UK confirms that fixed-term employees are entitled to the same pay and conditions, equivalent benefits and information about permanent vacancies, subject to the relevant rules. (https://www.gov.uk/fixed-term-contracts/employees-rights)

Employers should therefore ensure that the end-of-contract process is handled consistently and does not disadvantage the employee because they were employed on a fixed-term basis.

Final pay and leaving arrangements

The employee's final pay should be calculated accurately, including any outstanding holiday entitlement and other contractual payments. ACAS guidance confirms that employees should receive the appropriate pay during any applicable notice period and that final pay should reflect relevant outstanding entitlements. (https://www.acas.org.uk/final-pay-when-someone-leaves-a-job/pay-during-the-notice-period)

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FAQs

Does a fixed-term contract automatically end on its end date?

It will normally end automatically when the agreed date is reached, although the contract and circumstances should always be checked. GOV.UK also explains that if an employee continues working beyond the stated end date without formal renewal, there may be an implied agreement that the contract has continued. (https://www.gov.uk/fixed-term-contracts/renewing-or-ending-a-fixedterm-contract)

Is not renewing a fixed-term contract a dismissal?

Yes, GOV.UK confirms that where a fixed-term contract is not renewed, this is considered a dismissal. Where the employee has the relevant service, the employer should consider whether there is a fair reason and whether a fair process is required. (https://www.gov.uk/fixed-term-contracts/renewing-or-ending-a-fixedterm-contract)

Can a fixed-term employee be entitled to redundancy pay?

Yes. GOV.UK confirms that employees with 2 years' continuous service have the same redundancy rights as permanent employees and may qualify for statutory redundancy pay where the reason for non-renewal is redundancy. (https://www.gov.uk/fixed-term-contracts/employees-rights)

Why use HRDocBox for an End of Fixed Term Contract Letter?

HRDocBox combines deep HR knowledge, practical application and years of experience with real employment situations. The template helps employers communicate the end of a fixed-term arrangement clearly while prompting consideration of the wider employment-law and practical issues involved.

Why use HRDocBox rather than asking AI to create the letter?

AI can generate a simple contract-ending letter, but fixed-term non-renewal can involve dismissal, redundancy, notice and employee rights. HRDocBox combines UK employment-law knowledge, ACAS guidance and practical HR experience rather than relying on generic wording.

How much detail should the letter contain?

The letter should clearly confirm the end date and the practical arrangements that apply, without trying to reproduce the employee's entire contract or HR process. Where non-renewal involves dismissal, redundancy or another formal process, the letter should be consistent with the documents and explanations provided during that process.

How this content is developed and reviewed

The End of fixed term contract letter template is developed using a practical HR methodology that considers current UK employment legislation, ACAS guidance, CIPD good practice and the real-world HR process it supports. Templates are regularly reviewed and updated, with additional reviews triggered by significant changes to legislation, guidance or established HR practice, helping ensure each document remains practical, relevant and suitable for UK employers.

About the author

Darryl Horn, Chartered HR Director

Darryl is a Chartered HR professional with over 25 years' experience in senior HR and employee relations roles.

He has extensive practical experience of managing dismissal processes and founded hrdocbox to provide businesses with practical, professionally developed HR resources grounded in UK employment law and best practice.

HRDocBox has been creating practical UK HR documents since 2009.

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