Watford’s former MP Dean Russell has seen his tips bill become law this week after years of campaigning.

The Conservative may have lost his seat in the election on July 4, but a private members’ bill he introduced last year still came into force yesterday (October 1).

The Employment (Allocation of Tips) Act and the statutory code of practice on fair and transparent distribution of tips requires employers to pass all tips, gratuities, and service charges on to workers without deductions.

It means that if an employer breaks the law and retains tips, a worker will be able to bring a claim to an employment tribunal.

Mr Russell said: “The hospitality industry plays such a key role for our communities and across the nation.

“It is only fair that the hard-working staff who provide excellent service are the ones who benefit from the tips given to them by customers. I have been campaigning hard for this bill for several years.

(Image: Dean Russell) “With the rise in the use of credit cards, I noticed most customers, when tipping, would ask if the staff get the tip - and the answer was not always yes.”

Explaining how he was “proud” to have secured it in law before the election, to make sure it would come into force, he shared his gratitude for everyone who supported him to see it through each stage.

“I am confident that it will make such a real difference to the lives of so many,” Mr Russell added.

Dean Russell MP with Virginia Crosbie MP, who took the Bill through when he was a minister.Dean Russell MP with Virginia Crosbie MP, who took the Bill through when he was a minister. (Image: Dean Russell office) The Department for Business and Trade estimates that the changes will mean around £200 million will be received by around three million workers that would otherwise have been retained by employers.

Employers in the wrong could be made to pay fines or compensation to staff, with workers able to hold bosses fully accountable through tribunals.

The British Beer & Pub Association has said that it will "introduce a level playing field for all businesses" by bringing those that do not pass on tips in line with the majority of businesses which do.