Yes. As the employer you can decide when staff take some of their holiday, and that includes over Christmas. You just need to give them notice of at least twice the length of the holiday - a three-day closure needs at least six days' notice (we'd add a day to be safe). It's worth a quick look at your contracts first, as they can change the rules.
Why it's completely normal
Most small businesses do it and most staff pretty much expect it. If you close between Christmas and New Year the days have to come from somewhere and holiday is the obvious place. It isn't sneaky and it isn't unusual - it's how most offices, trades and agencies we know handle Christmas.
Where it goes wrong is the surprise. Tell someone in mid December that three of their last few days are now spoken for and you'll get grumbling (fair enough, really) and maybe a problem with notice too. Tell them in October and it's just part of the plan. If you announce Christmas early, the notice rule barely matters - you'll be weeks over it.
We've had people realise in December that they'd used more holiday earlier in the year than they thought, and didn't have enough left for the days we were closed. Not fun for anyone. The fix wasn't a stricter rule, it was just telling everyone early how many days to keep back so it didn't come as a surprise.
How much notice do I need to give?
At least twice as many days as the holiday you're asking them to take - and that's calendar days, not working days.
| Holiday you're making them take | Minimum notice | To be safe, tell them by |
|---|---|---|
| 1 day (say, Christmas Eve) | 2 days | Any time in November |
| 3 days (29 to 31 December 2026) | 6 days | Any time in November |
| 5 days | 10 days | Any time in November |
| 7 days (21 to 31 December 2026) | 14 days | Any time in November |
You'll notice the last column says November every time. Legally you could leave it until mid December, but we wouldn't. Put it in your first Christmas email in October and people can plan the rest of their holiday around it.
Is it twice the notice plus one day?
Depends who you ask, annoyingly. ACAS says twice the length of the holiday. GOV.UK says twice plus one day, because the day you give notice doesn't count. Our advice is just to give the extra day and you're covered either way. It's only ever going to matter if you've left it right to the wire anyway.
Can I make staff save holiday for Christmas?
Yes, more or less - you do it by telling them early which days they'll need to take. Once you've said 29 to 31 December come out of holiday, those days are spoken for. Some businesses put it in the contract or handbook ("keep three days back for the Christmas closure") so it's clear from the day someone starts.
If you haven't got it written down anywhere, just say it plainly in your October email. Something like "We're closed 29 to 31 December and those days come out of your holiday, so keep three back." Job done, notice given. There's a ready-made version in our Christmas email to staff templates.
In Book Time Off you can see everyone's days used and days left at a glance, so you spot the person who won't have enough for the Christmas closure in October rather than on 20 December. Book the closure for everyone in one go and their balances update straight away. It won't stop someone blowing all their days in August, but at least you'll see it coming.
→ Start free trialWhat if someone's run out of holiday?
You've basically got three options - let them borrow from next year, agree some unpaid leave or just pay for the days. Pick one and do it for everyone. It crops up most with new starters, who might only have built up a few days by December.
Borrowing from next year is what most people do. They just start the new year a few days down (write it down somewhere, or someone will forget - probably you). Unpaid is fine if they're genuinely happy with it, but you can't just impose it unless the contract says you can. And honestly, for one new starter and two or three days, just paying it is often the simplest and kindest thing.
Whichever you go for, be consistent. In our experience it's never the rule that upsets people - it's finding out a colleague got a better deal.
Can I make staff take unpaid leave at Christmas?
Only if their contract allows it or they agree to it. You can make staff use their paid holiday for a closure, but you can't just stop paying them because you've decided to shut. If you think you might want an unpaid Christmas closure one year, get it into contracts now rather than in December.
Do bank holidays count as annual leave?
Depends on your contracts. Bank holidays can be part of someone's allowance or on top of it - most UK contracts say either "20 days plus bank holidays" or "28 days including bank holidays", which is the same thing written two ways. Either way, Christmas Day, Boxing Day and New Year's Day aren't extra days you're making people take. They're already in there.
One to watch this year: Boxing Day's a Saturday, so the bank holiday moves to Monday 28 December. All the dates are in Christmas bank holidays 2026.
Book Time Off pulls the UK bank holidays straight from the GOV.UK feed for England and Wales, Scotland and Northern Ireland - substitute days and all - and never takes them off anyone's allowance. So when you book the Christmas closure, only the actual working days come off. One less thing to check.
→ Start free trialIf you want the whole Christmas plan in one place, we've put it together in how to manage Christmas holiday requests. And if you'd rather have it written up properly, the Christmas shutdown policy template comes with a Word download.
The legal bit, if you need it
You don't need this to get Christmas sorted, but here's what the rules actually say if anyone asks.
- Employers can require holiday on set dates. This comes from regulation 15 of the Working Time Regulations 1998 (legislation.gov.uk).
- The notice is at least twice the length of the holiday in calendar days, per ACAS. GOV.UK puts it as twice the length plus one day (ACAS, GOV.UK).
- A contract can change the notice rules in either direction, and if it does, the contract applies (ACAS).
- Statutory holiday is 5.6 weeks a year (28 days for someone working five days a week), and bank holidays can be included in it (GOV.UK).
- Not paying someone for a closure without a contractual right or their agreement is likely to be an unlawful deduction from wages (GOV.UK).
Sources
| legislation.gov.uk | Working Time Regulations 1998, regulation 15 · Dates when leave may be taken. Checked October 2026. |
| ACAS | Asking for and taking holiday · Employer notice to require holiday. Checked October 2026. |
| GOV.UK | Holiday entitlement: booking time off · Notice periods. Checked October 2026. |
| GOV.UK | Holiday entitlement · 5.6 weeks and bank holidays. Checked October 2026. |
| GOV.UK | Deductions from your pay · When deductions are lawful. Checked October 2026. |
FAQs
This is practical, general information for UK employers. If you've got a dispute brewing or something unusual in a contract, talk to ACAS (it's free) or an employment solicitor.