The new UK Neonatal Care Leave and Pay regulations, effective from April 6, 2025, provide up to 12 weeks of leave and pay to parents of babies requiring at least seven continuous days of hospital neonatal care within the first 28 days of birth.
Key changes in the recently published government technical guide focus on explaining the “day one” right to leave, how to accrue leave (one week for every seven days of care), and the separate 26-week service and earnings requirement for pay.
The guide also details eligibility for various parent types, how leave interacts with other entitlements, and guidance on complex situations like multiple births or home-based care.
Key changes to neonatal regulations include:
“Day One” Right to Leave:
Employees are eligible for neonatal care leave from their first day of employment, which is a significant change compared to other types of leave like paternity or parental leave.
Accrual of Leave:
Eligible parents accrue one week of leave for every seven full, consecutive days their baby spends in neonatal care, up to a maximum of 12 weeks.
Separate Entitlements:
Each eligible parent (including fathers and partners of birth parents) receives their own separate entitlement to 12 weeks of leave, which is in addition to other leave entitlements.
Pay Eligibility:
Statutory Neonatal Care Pay requires employees to have a minimum of 26 weeks of continuous service and have earnings at or above the National Insurance Lower Earnings Limit.
Timeframe for Leave:
The total leave entitlement must be taken within 68 weeks of the baby’s date of birth.
Inclusivity:
The entitlement covers a wide range of parents, including biological parents, adopters, and intended parents in surrogacy arrangements.
Interplay with Other Leave:
The guidance clarifies how this leave fits alongside other statutory leave, such as maternity and adoption leave, which cannot typically be stopped and restarted.
Complex Situations:
The technical guide provides specific advice on managing complex scenarios, such as multiple births (like twins) and readmissions into neonatal care.
Financial Recovery for Employers:
The guidance outlines how employers can recover most statutory payments from HMRC and explains the differing recovery rates for small and large employer
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