Neonatal Leave and Pay

The Neonatal Care Leave and Pay Act 2023 received Royal Assent in May 2023, and the entitlements it creates are expected to come into force in just over a year’s time (April 2025) as an addition to other existing maternity/paternity rights. The detail will be contained in subsequent regulations which are still awaited.

Parents with 26 weeks’ service will be entitled to take up to 12 weeks’ additional paid leave if their baby requires 7 days’ (or more) continuous neonatal care starting within 28 days of being born.

It is expected that the leave will be able to be taken after other statutory family leave, (e.g. maternity/paternity), but with a long-stop date of 68 weeks from the date of the child’s birth.

Along with details of the practicalities of notice, evidence requirements and record-keeping, the rate of Statutory Neonatal Care Pay is yet to be confirmed. It is anticipated pay will be at a statutory prescribed rate or, if lower, 90% of the employee’s average weekly earnings. The Government has promised a long lead-in time to enable employers to prepare to administer the new statutory payment.