Modern slavery statement UK: a practical guide for businesses

Opening paragraph

A clear, well‑published modern slavery statement UK is now a core compliance and reputational requirement for many organisations. Whether you are a small limited company or a growing supplier in a complex supply chain, this guide explains the Modern Slavery Act obligations, who must publish statement reports, and how to create a practical statement that shows real action on supply chain transparency.

What is a modern slavery statement and why it matters

A modern slavery statement is a public declaration that sets out the steps an organisation has taken to prevent modern slavery and human trafficking in its business and supply chains. The obligation arises from the Modern Slavery Act and the related government guidance.

Publishing a statement is about transparency, risk management and stakeholder trust. It signals to customers, investors and contracting partners that your business takes forced labour and exploitation seriously. It also helps your organisation understand where risks sit across suppliers, contractors and temporary labour used in the UK and overseas.

Who must publish a modern slavery statement

The legal test for publication is set out in government guidance. In simple terms, the requirement typically applies to organisations that meet a specified annual turnover threshold and carry on business in the UK.

• The GOV.UK guide explains in detail whether your organisation needs to publish an annual modern slavery statement: https://www.gov.uk/guidance/publish-an-annual-modern-slavery-statement
• Check the guidance carefully if you have multiple legal entities, branch operations or an international structure.

Organisations should consider the following when deciding whether the duty applies:

• Annual turnover and who consolidates that turnover
• Whether the business carries on all or part of its activities in the UK
• How the organisation is structured – group companies, subsidiaries and parent companies

If you are unsure about who must publish statement materials for your group, seek legal or accounting advice. The GOV.UK guidance includes examples and scenarios to help with the assessment.

When to publish and how often

The rule is to publish an annual modern slavery statement. That means:

• Publish a statement at least once a year and make it available on your website
• Ensure the statement covers the reporting period clearly so stakeholders can see year‑on‑year progress

The GOV.UK page on publishing annual statements gives detail on timing and content expectations: https://www.gov.uk/guidance/publish-an-annual-modern-slavery-statement

What to include in your modern slavery statement

The Modern Slavery Act and government guidance set out the areas your statement should address. A robust statement should be readable and proportionate to your business size and risk profile.

Include at least the following areas:

• Organisational structure and business model
• Supply chain description and where risk might occur
• Policies relevant to modern slavery prevention
• Due diligence and risk assessment processes implemented
• Steps taken to assess and manage risks
• Effectiveness measures and KPIs used
• Training for staff and management
• Plans for future action and any remediation measures

Organisational structure and business model

Explain who you are, where you operate and the main goods or services you supply. This gives context for readers to understand why certain parts of the supply chain are higher risk.

Supply chain transparency and risk areas

Set out the nature and size of your supply chain. Be honest about the complexity and where you face the greatest risks, for example:

• High‑risk countries of origin for raw materials
• Labour‑intensive tiers such as manufacturing, cleaning or logistics
• Use of agency or migrant labour

Being specific about risk areas improves credibility. Vague phrases add little assurance to stakeholders.

Policies and due diligence

Explain the policies you have in place, such as a modern slavery policy, ethical procurement policy or whistleblowing procedures. Describe your due diligence steps and how they are applied across suppliers.

• Do you include contract clauses requiring suppliers to comply with modern slavery requirements?
• Do you carry out supplier audits, questionnaires or third‑party assessments?
• How do you remediate issues that are found?

Effectiveness and KPIs

Describe how you measure the effectiveness of your actions. Useful metrics include:

• Number of supplier audits completed
• Percentage of direct suppliers who completed modern slavery questionnaires
• Number of staff trained and type of training delivered
• Incidents found and outcomes of remediation

Even small organisations can report meaningful indicators. Transparency about limitations is better than spin.

Training and awareness

Summarise your staff and contractor training approach. Make clear who receives training, how often and what topics are covered. For example, procurement teams, HR and site managers may need different modules.

Preparing your supply chain risk assessment

A practical risk assessment is the backbone of a credible modern slavery statement. Small businesses should focus on the most relevant and highest risk parts of their operations.

Steps to complete a proportionate risk assessment

• Map your supply chain tiers – direct suppliers, indirect suppliers and sub‑contractors
• Identify high‑risk goods, services and geographies
• Use existing data such as supplier location, industry sector and spend to prioritise
• Apply a simple scoring system to rank suppliers by risk
• Target deeper checks on higher risk suppliers

Tools and information sources

• Use supplier questionnaires and self‑assessment forms
• Check public risk indices and sector guidance
• Request audit reports where available
• Collaborate with peers in your sector for shared supplier intelligence

Remember that supply chain transparency is not a one‑off task. Maintain the risk map and update it regularly as contracts, suppliers and sourcing locations change.

Drafting the statement – practical tips

Use clear, plain English and avoid legal jargon. The statement should be proportionate to the size of the business and demonstrate actions taken.

• Use a short executive summary to state your position and main actions
• Include a named senior individual who approves the statement to show accountability
• Provide contact details or a link for stakeholders to raise concerns
• Keep the statement accessible on your website and link it from the main compliance or governance pages

A short, honest statement that shows real processes is more effective than a long generic document that lacks detail.

Publishing and making the statement available

Legal expectations include making your modern slavery statement available on a public website. Consider the following steps:

• Publish the statement on your website and ensure it is discoverable from the homepage or a governance/compliance page
• If you do not operate a website, the guidance suggests other ways to make the statement available; still keep a public record
• Keep an archive of past statements so progress can be shown over time

Refer to GOV.UK guidance for detailed publishing advice: https://www.gov.uk/guidance/publish-an-annual-modern-slavery-statement

Enforcement, reputational risk and buyer expectations

There is no criminal penalty for failing to publish a statement, but public and commercial consequences can follow. Large buyers often require suppliers to have a modern slavery statement before contracting.

• Procurement teams and brand owners will view non‑publication as a compliance gap
• Investors and NGO groups may publish compliance rankings that affect reputation
• Where modern slavery is identified in a supply chain, failure to act can lead to legal exposure, contract loss and consumer backlash

Taking the requirement seriously reduces commercial risk and signals a commitment to ethical business practice.

Small business practical checklist

Use this checklist to create or update your statement:

• Confirm whether the Modern Slavery Act requirement applies to your organisation
• Map your supply chain and identify high risk suppliers and geographies
• Draft or update your modern slavery policy and procurement clauses
• Implement proportionate due diligence for higher risk suppliers
• Provide basic staff training for procurement and HR teams
• Publish the statement on your website and approve it at senior level
• Review and update the statement annually

Who must publish statement in complex group structures

Group structures can complicate responsibility for publication. Key considerations include consolidation of turnover and whether a group parent publishes a comprehensive statement on behalf of subsidiaries.

• If turnover is consolidated at group level, a parent company may publish for the group
• Where subsidiaries operate independently and exceed thresholds, they may need individual statements

Seek professional advice if your structure is complex to ensure you meet the legal test.

Practical steps for volunteer and charity organisations

Some voluntary and community sector organisations also need to consider modern slavery obligations, particularly if they make matches or run international programmes. Relevant guidance exists for specific programmes such as Homes for Ukraine. See GOV.UK for sector specific guidance: https://www.gov.uk/guidance/homes-for-ukraine-guidance-for-matching-organisations

Reporting language – avoid disclaimers that undermine credibility

Statements should avoid language that suggests modern slavery is only a remote risk for your business. Instead, explain the proportionate steps you take and where the limits of your control lie.

• Be honest about supplier cooperation levels
• Explain remediation processes when issues are found
• Use a named senior signatory and a publication date

How Figures can help your business

If you need practical help preparing a modern slavery statement, Figures can support you with governance and compliance reporting that fits your size and sector. We can help with:

• Supply chain mapping and risk prioritisation
• Drafting a proportionate modern slavery statement for publication
• Integrating modern slavery checks into procurement and supplier onboarding
• Management reporting that tracks progress on KPIs and training

Find relevant services on our site:

• Statutory Accounts & Tax
• Bookkeeping & Xero
• VAT

If you are ready to talk, book a discovery call and we will scope a pragmatic, cost‑effective plan for your business.

UK tax and legal accuracy

This article is for informational purposes only and does not constitute professional tax or financial advice. Please speak to a qualified accountant before taking action. This article refers to the legal and reporting context and the UK tax year 2026/27.

Frequently asked questions

What is a modern slavery statement UK and who needs one?

A modern slavery statement UK is a public report describing steps taken to prevent modern slavery in business and supply chains. Whether you must publish depends on your annual turnover and whether you carry on business in the UK. Check the GOV.UK guidance to determine if the requirement applies to your organisation: https://www.gov.uk/guidance/publish-an-annual-modern-slavery-statement

Does every company need a statement even if they are small?

Not every small company must publish. The duty typically applies to organisations above a turnover threshold. However, small businesses may still choose to publish a statement to meet buyer expectations and improve supply chain transparency.

What should a simple statement include?

A simple but credible statement includes organisational structure, supply chain description, policies, due diligence steps, training, effectiveness measures and the name of a senior approver. Be proportionate and honest about what you do.

How often do I need to update the statement?

The statement should be published at least annually. Update it whenever there are material changes to your supply chain, policy or remediation approach so stakeholders can see progress.

Who approves the statement?

A senior person should approve and sign the statement. Typically this is an executive director, chief executive or board member to show accountability and commitment.

Summary and next steps

A modern slavery statement UK is a practical tool for managing risk, meeting buyer expectations and demonstrating ethical behaviour. Start by checking whether the legal requirement applies to your organisation and then focus on a proportionate approach to supply chain transparency, due diligence and training.

If you need help drafting a statement, mapping suppliers or measuring effectiveness, Figures can help you build a pragmatic compliance plan that fits your business. book a discovery call to get tailored advice and support.