PARLIAMENTARY DEBATE
Statutory Maternity and Paternity Pay - 27 October 2025 (Commons/Westminster Hall)
Debate Detail
[Wera Hobhouse in the Chair]
That this House has considered e-petition 715292 relating to statutory maternity and paternity pay.
It is a pleasure to serve under your chairship, Mrs Hobhouse, and a privilege to open this very busy debate on behalf of the Petitions Committee. Calling for statutory maternity and paternity pay to match the national living wage, the petition before us has attracted a great deal of public support from families who want Parliament to look again at how we help parents in the first months of their child’s life. I thank the creator of the petition, Grace Carter, and the thousands who signed it for prompting this important discussion.
The petition highlights a simple contrast that many parents experience. The national living wage is meant to ensure a basic standard of living for workers but, during maternity or paternity leave, state support falls well below that level. At present, statutory maternity pay after the first six weeks equates to just £4.99 an hour, compared with the national living wage of £12.21—55% lower than the income that the law defines as the minimum required to live on. It is hard to justify there being a minimum income for work but not for caring for newborns, and families really feel that gap in their pocket.
In response to the petition, the Government have stated that statutory payments are designed to provide “a measure of…security” rather than a full wage.
Under the current arrangements, a mother or primary adopter can receive maternity pay for up to 39 weeks. For the first six weeks, that pay is 90% of average weekly earnings. For the following 33 weeks, it falls to a flat statutory rate, or 90% of earnings—whichever is lower. Statutory paternity pay lasts for two weeks at the same flat rate.
One of the starkest, most glaring inequalities in the system is that dads who are self-employed or freelance are not eligible for anything. That is something that the Government should look at.
Shared parental leave was designed to bring flexibility, but in practice very few families can afford to take it at the current levels. The House of Commons Library notes that only 5% of eligible fathers take it up, with most saying that they cannot afford it. The United Kingdom offers one of the longest periods of maternity leave in the developed world, yet one of the lowest payment rates. The outcome is predictable: mothers often return to work earlier than they would like, fathers and partners take little to no time off and the unequal division of care that begins at birth shapes the patterns of earnings and progression for the years afterwards.
Recent research by the University of Bath and its partners, Working Families and the Fatherhood Institute, tested the impact of a more generous and flexible leave offer for fathers and modelled what would happen if paternity leave were extended from two to six weeks, to be taken flexibly within the first year and paid at a meaningful rate. The findings were striking. Better pay produced much higher take-up by fathers, improved wellbeing for both parents, maintained a closer connection of women to the workforce and lowered staff turnover for employers. When only jobs and earnings were considered, the policy still brought a net gain to the economy; when wellbeing and family outcomes were added, those benefits rose sharply. In every scenario, families and employers were better off when parental leave was properly paid.
Those are not just numbers. They mean families spending real time together, children getting a better start and businesses keeping valued staff. The evidence is clear: when leave is paid at a level parents can afford, everyone benefits.
Trade unions have welcomed the Government’s review—I declare an interest here, as a proud Unison and GMB member. The GMB says that it is pleased that the Government are listening, and calls for 12 months’ maternity pay, stronger protection against discrimination and fairer rights for fathers and partners, including six weeks’ paternity leave on equal pay. The union’s model parental leave agreement also advocates paid emergency bereavement leave and carer’s leave, recognising that decent parental pay and leave boosts retention and wellbeing. The Trades Union Congress, representing over 5 million workers, warns that the current system entrenches inequality by excluding many women, the self-employed and those in insecure work.
The TUC seeks day one rights, individual entitlements to paid leave and higher pay rates so that all families can benefit, including single kinship, adoptive and surrogate parents and those in atypical roles.
Behind every statistic is a story. The recent campaign by Pregnant Then Screwed gathered testimony from families across the UK who face the brutal consequences of the current, inadequate system. Laura from the west midlands had to return to work just 11 weeks after giving birth because she could not afford the mortgage repayments on her low maternity pay. She said that she had been
“overwhelmed with guilt over the limited bonding time”
that she had had in those early months due to returning to work, and it had greatly impacted her mental health.
Izzy from Chester, recovering from an emergency caesarean section, was left alone in pain, unable to feed herself and her baby. Her wound later ruptured and became infected. She believes that that would not have happened if her husband had been at home longer. Neya from London told us about the aftermath of her traumatic birth and its impact. She slept on the floor for weeks and was unable to function. She said that she could barely think about how she would have coped if her husband had not been around. Another parent, who wanted to remain anonymous, shared a reflection that captures the long-term cost of the current system:
“I’m struggling to see how we can possibly have a second child because of all of this. I’m very happy, grateful and content with one but it feels like the choice is starting to be taken out of our hands.”
We know there are huge costs involved. A nursery place for an older child at this time can cost up to £1,200 a month for three days a week, while the average mortgage is between £800 and £1,000 a month. Add in household bills, food bills and transport costs, and it becomes painfully clear how impossible it is to survive on the statutory maternity pay of £4.99 an hour.
However, it is crucial that the cost of this reform is not simply passed on to employers, who are already facing rising costs. As the petitioner has argued, this change should be about Government investment, recognising the economic and social value of supporting families, just as we do with other forms of social security.
Ultimately, this issue is about the country that we choose to be. The first months of a child’s life are not a private indulgence; they are a public good. When parents are able to be present, children flourish, mothers recover, fathers bond and families become the firm foundation of a stronger, healthier society. When that support is absent, we all pay the price—not immediately, but inevitably. This issue is not merely a question of fairness; it is a matter of foresight and basic national good.
I will home in on the specific issue of self-employed adopters. There is real inequality built into the system, where self-employed adopters are not able to access the pay or even the allowances that parents can. When someone takes a new child into their home through adoption, there are significant challenges, and it is important that they can build stability, attachment and security for that child. But without the resources to do that, many adopters have made the positive choice not to adopt a second child, and others in the process are not able to embark further on the journey. That is denying children access to a family, when we have so many children—over 80,000—in care at the moment. It is absolutely vital that we change the system to ensure that we give those parents, at least, equivalent and sufficient adoption pay.
Therefore, I ask that the Government engage with and listen to the work done on this issue by organisations such as Adoption UK and Home for Good. They have identified that although there are voluntary arrangements at the moment, they are simply not working, and we need statutory arrangements for adopters. Only 10% of adopters had their social workers tell them about the voluntary arrangements to access resources from a local authority, which are given on a discretionary basis. In fact, we found that 34% of local authorities did not even have a policy for how they would give that pay to adoptive parents. It is not for local authorities; we need statutory provision in place, and I trust that the Minister will take on that cause.
The foundation for a child’s future health, wellbeing and capacity to learn is laid down in those first 1,001 days, and the very first days and weeks are perhaps the most vital. Why? Because that is the time when the baby’s brain makes billions of connections, shaped by their environment. The primary input they need is secure attachment, which comes from a loving, available and responsive parent. Let me be clear: as many in this room will know, those first few days, weeks and months are hard. I am fed up with mothers being treated as second-class citizens.
For the mother, maternity pay is crucial for physical and mental recovery from childbirth, to allow for uninterrupted bonding and to establish feeding routines, which are the cornerstones of that secure attachment. It ensures that exhaustion and financial anxiety do not hijack this delicate foundational relationship. For the father or non-birthing parent, that early time is just as essential. Their presence facilitates critical family adjustment, supports the birthing parent’s recovery and enables their own essential bonding—a key factor in reducing post-natal depression for both parents.
When parental pay is too low, parents are forced back to work too early. They are forced to prioritise their pay over their child’s neurological and emotional development. Historically, our policies have had a clear gender bias. Maternity pay, perhaps somewhat improving, still often sees the mother bear the financial penalty of taking long leave. Paternity pay, however, is also often a token gesture—a week or two at statutory minimum—sending a damaging message that the role of the father or birthing partner is secondary. The moral failure has consequences; it perpetuates gender inequality, penalises the mother’s career, entrenches her as the default primary carer and contributes directly to the gender pay gap. It limits the father’s role—it effectively blocks fathers who wish to be highly involved from the start, hindering their bond with the child.
The moral solution is equal, well-paid, non-transferable parental leave for both parents. We must elevate the financial value of the mother’s or father’s presence from a mere detriment to an essential contribution, thereby normalising co-parenting and supporting the mother. Parental pay is not a cost to the economy; it is a strategic investment in our human capital. When we support parents during that first 1,001 days, we are investing in our public health. Secure attachment leads to improved mental health outcomes for both parents and children, reducing the long-term strain on healthcare and social services. A stronger workforce in which parents feel supported would mean that they return to work more focused, loyal and productive. Generous parental leave is a key tool for talent attraction and retention.
“sufficient resources and time away from work to support new and expectant parents’ wellbeing”
and supporting
“parents to make balanced childcare choices that work for their family”.
To make some of the needed improvements, both the rate at which paternity pay is paid and the length of leave must be addressed. Currently, fathers and non-birthing parents are not supported to take time off from work because they cannot afford to do so. A large number of constituents have written to me on this topic. I am sure that many more, who have not had the time to consider writing to me, are also deeply affected by this, as shown by the large number of signatories to the petition that has triggered this debate.
Let me repeat some of the points made to me by my constituents. The low rate of statutory pay for both parents has huge financial implications for new parents, especially those in single-income households. Living on so little during one of the most vulnerable periods of their lives is a significant issue.
Polling for The Dad Shift and Movember has found that the financial pressure is wrecking the health of new parents and their families, with more than half of new dads reporting mental and physical health consequences. Some 61% become less present with their families, and 57% are put off having more children. Although we in the Liberal Democrats may not be able to go quite as far as is asked for in this e-petition, we nevertheless support a number of significant changes. My hon. Friend the Member for Richmond Park will say a lot more.
I want to make a speech on behalf of every parent who is right now checking their bank balance, sitting in the back of a dingy soft-play centre, weeping silently. They are looking at us and wondering—screaming—“When will Parliament get it?” They will understand the irony that we are having this debate during half term. It sounds impossible when said out loud, but we in this country appear to think that when someone has a baby, they should live on less than the national minimum wage.
Of course this petition has merit—it speaks to the problems that begin at birth and lock in inequality throughout people’s lives. If someone is on universal credit, working and pregnant, we will claw back some money just to make their life even more complicated. Meanwhile, those who are entrepreneurs or self-employed have no help at all. Little wonder that Maternity Action shows that motherhood is often associated with debt—and it does not stop there. Let us be clear: this is not about taking time off, but about taking on another job with a very expensive clientele. It is estimated that it costs £406 a week to look after a newborn baby, and what if parents have another one? Do the maths, and realise why this place has to up its game.
This is not about counterproductive measures; it is about families. People attack breakfast clubs, but breakfast clubs are not about the state looking after people’s kids; they help parents who would otherwise find it impossible to hold down a job where they are expected to be in a meeting at 9 o’clock.
Affordable childcare is not yet affordable. A constituent who is just about to have a second child wrote to me to say that even with the 30 hours and the tax-free allowance his family still has to find £3,000 a month. It does not stack up, and that is before we get to the cost of the half-term clubs. Parents are trying to find an extra 200 quid this week, while still dealing with the credit card bill from the summer holidays.
Above all, the way we do maternity leave locks in inequality for mums, who get written off by the motherhood penalty and get lumbered with the childcare, and locks out dads from the role of second parent. We do not have time to talk about issues affecting single parents, children with special educational needs and disabled parents.
The review is great, but we have the evidence. We do not need to wait to do something now to help all those people screaming in the soft play centre. We could bring in statutory pay changes or an equal six-week right at 90%. We had a chance to do that in the Lords in the Employment Rights Bill, and we lost it by seven votes. There are interim measures that we could take. I hope the Minister will hear this cry of pain, because this week of all weeks, parents are begging for pay day, worried that they are letting down their kid. Above all, they are asking us in politics to help them.
When babies are born, it is a time of beauty. Learning to navigate a wee family is so precious, but the reality is that when parents cocoon their baby, the bills need to be paid, and they find themselves outlaying more money than ever. They have to buy nappies, new clothes, the pram, the crib, the car seat; it sets them back a substantial amount. Although it may seem that mum and dad being on 90% for the first weeks is okay, the fact is that they are under pressure. The mortgage, the rent obligation, the car insurance and the car payments all still need to be paid on time.
Little wonder that the 2025 Maternity Action survey revealed that 90% of respondents worried about money during their maternity leave. The financial strain has a significant negative impact on women’s mental wellbeing. A 2025 Unison survey found that 57% of respondents felt pressure to return to work earlier than they would have liked.
Some mums are told that the most important time of their lives are the early years with their baby, and yet there can be no doubt that mums are under financial strain right from the outset. That does worry me. Mum guilt is a real thing; it is not just something that people talk about, a thing in a paper or a motto. They worry about letting their child down.
In Northern Ireland, the DUP has recognised the need for childcare and has introduced a very successful scheme. I am sure the Minister is aware of it. It gives some help at a time when it is needed.
Twelve weeks of severely reduced pay will not enable the mum to get the baby into their own wee routine, and ensure her physical and emotional health is back at the level needed to return to work. I urge the Government and the Minister to work on this issue, and recognise that there cannot be stable homes if parents with newborns are wondering whether to turn the heat on or whether to just have vegetable soup for the fourth meal in a row. That should not be the case. Let us change that and give families the time they need to bond.
Two years ago today, I was beginning my journey as a first-time parent. That means that it is about two years since I last had a good night’s sleep. If the Minister would like to give my little boy a birthday present today, on his second birthday, he could extend parental leave, and paternity leave in particular, so that if my son chooses to have children in the future, he can have some time with his child.
It is simply not right that fathers receive only two weeks’ statutory leave. That denies fathers a chance to bond with their children and perpetuates the outdated stereotype that women are expected to be the primary caregiver. Importantly, the way that women give birth in this country has changed: about 40% of all births in England are now carried out by caesarean section, which has a recovery time of up to six weeks. Why is a father expected to return to work, leaving his partner with a newborn baby when she is still recovering from major surgery and is unable to drive or even lift her child safely? We should be encouraging fathers to spend time at home with their partner.
I was proud to sit on the Employment Rights Bill Committee earlier this year, and to play a role in extending paternity leave rights to more dads in my constituency. But we must go further. As a country, we are getting older; we need more people to have children. Will the Minister confirm that the review of parental leave and pay will, at the very least, consider increasing statutory paternity leave to six weeks, commit to reforming shared parental leave so that it is more attractive to parents, and deliver on our manifesto pledge to give every child in Gloucester the best start in life?
My constituent Tamara Morris is currently preparing to go off on maternity leave. The amount that Tamara expects to receive will not even cover her half of the household bills. She is really worried about how her family are going to cope. The UK Government could have rectified that during the Employment Rights Bill. I pay respect to my Plaid Cymru colleague, Baroness Smith of Llanfaes, for her efforts in the other place, pushing to increase the rate of statutory parental pay.
If child poverty is really a priority for this Government, then they must consider the impact of poor parental pay on the first few months of a child’s life. I call on the UK Government to address the issues we have set out today, and finally put them right.
I will briefly say again what I said last year: I accept that we have moved forward since my twins were born 12 years ago, but my experience of my children being born nine weeks early, my wife having a C-section, one of my children being diagnosed with cerebral palsy at 12 days old, and me working through the whole six weeks of them being in special care because I was not entitled to a day of paternity pay, continues to live with me. We have seen neonatal care benefit and some benefit in paternity pay. But we must continue to battle for better rights for parents.
One in three dads do not take their paternity leave because they cannot afford to. The system is complicated and we do not always give people the support that they need. We must modernise to deliver for today’s families. A survey undertaken by Maternity Action has shown that of 1,000 new mothers, the majority have had to resort to credit cards or loans to finance their maternity leave. Over half have said that they have had to return to work early, as it is impossible to support themselves and their new baby. It is therefore vital that we ensure that new mothers have access to the support they need. They should all be supported to focus on their own wellbeing and their baby’s health, both during pregnancy and after birth.
In my constituency of Stratford-on-Avon, many parents work in sectors such as hospitality, tourism and the creative industries, where income can be seasonal or irregular. I often hear from constituents who simply cannot afford to take the time they need to recover after childbirth or to bond with their baby. That is not only unfair, but shortsighted both socially and economically. Every parent should have genuine flexibility and choice in those first crucial months.
All forms of parental leave and pay, including for adoptive, foster and self-employed parents, should be available from day one. Statutory maternity and shared parental pay should be doubled and paternity leave increased. When parents and carers are supported to take time off, children benefit from early care and attention. It helps parents to return to work, reduces pressure on household finances and supports a more equal sharing of responsibilities at home. The Government’s review of parental leave is an opportunity to act, and I hope that it looks seriously at the low statutory rates and creates a system that reflects the realities of modern family life. Families deserve the time, flexibility and security to give their children the best possible start in life.
Dads are not exactly doing better. They get two weeks at the same maximum of £187 a week. One dad in Leeds South West and Morley, a median worker, told me that he would lose £103 a day on statutory paternity pay. If a median worker is forced to make that choice, can we even call it paternity leave, especially since it does not encourage dads to take time with their children and support their partners? When my first child, Oscar, was born, he timed it perfectly. I was a teacher at the time and he arrived two weeks before half term, so I got three weeks with him, but even that was not enough. As we all know, babies do not stick to schedules and they certainly do not wait for Government reviews.
The Government’s review of parental leave is welcome, but 18 months is a very long time. The Government can already consider Maternity Action’s report, which asks for maternity and paternity pay to be increased in line with the living wage. They could also speak to The Dad Shift, which proposed increasing the length of paternity leave. They could speak with our trade union friends too, but whoever they speak to, it is clear to me and to everyone here that families need proper paternity and maternity pay, and they need it now.
“Every mile I drove, I felt I should be home.”
Those are not isolated stories. They reflect what parents across the country are facing. When fathers cannot afford to take leave, the burden falls entirely on mothers. I have spoken to new mums recovering from major surgery alone while caring for newborns, and often other kids. The toll on their mental and physical health is profound.
This is also a workplace safety issue. I heard of tradespeople who supported my tool theft campaign returning to work on almost no sleep, operating heavy machinery, driving long distances and putting themselves at risk. One plainly told me:
“I was a danger to myself. But I couldn’t afford to stop.”
The petitioners are not asking for special treatment; they are asking for fairness. They are asking for statutory maternity and paternity pay to at least match the national living wage, for six weeks of ringfenced paternity leave, and for self-employed parents to be included. The status quo is failing. This is about fairness, family and the kind of country that we want to be.
Blanche is a fantastic mum who lives in Edinburgh South West. She is self-employed, and she found herself in an even more precarious position when she had a child. As she works for herself, she was entitled to only a statutory allowance: a flat £187 per week with no six-week cushion, unlike the statutory maternity pay situation. As a result, she had to work right up until the morning she went into labour at 41 weeks, and she returned to work almost instantly after using up her “keeping in touch” days. To quote her directly, and I warn Members that this is a bit graphic,
“it was a shock to the system, her body was sore, her breasts were leaking, she was still bleeding”.
She had to do work in that condition. She highlights that alongside the physical and logistical difficulties, she felt stigmatised by medical staff and other parents who judged her for leaving her child to return to work so early, without understanding that her financial situation forced her to do so.
I spoke to Blanche at the weekend. She does plan to have another child—she is a fantastic mum, and I am sure that we all wish her well—but she hopes that by then, Minister, things will have changed. I know that we cannot do this overnight, but I hope that the Minister can signal the start of a transition.
This is not just about Natalie. It is about warehouse workers, firefighters, nurses and shop staff—working people who pay in their whole lives but feel abandoned when they need support the most. We want a system that respects work, family and parenthood, and that means maternity and paternity pay being raised to at least the national living wage—proper, fully paid leave, as the Fire Brigades Union is fighting for in its Fight for 52 campaign.
Parental leave is a day one right, not a privilege. I welcome the Government’s review of the parental leave system, and I welcome the fact that all current and upcoming parental leave and pay entitlements will be in scope. No parent should be pushed into debt for having a baby. No mum should feel guilty for taking time to heal. No dad should be told that two weeks is enough.
Natalie had the courage to speak up, but the petition proves that she is not alone. We are not asking for luxury. We are asking for fairness, dignity and the basic right to raise a child without being pushed into poverty.
What I really want to talk about is the fact that £187 a week simply does not provide enough for people to live on, and that 70% of children in poverty in the UK have at least one working parent; that group has the highest levels of poverty. We urgently need to look at what people actually need to live on when they have children, versus what we would like women to put up with. Women having been putting up with it for far too long.
The reality is that 30% of domestic abuse starts during pregnancy, and statutory maternity pay ensures that an extremely vulnerable group of women do not have enough money to live on should they choose to leave their partners. This is not about making sure that we can all have posh prams; it is fundamentally about women being able to make decisions about their safety and the safety of their children. I do not think that gets nearly enough airtime in this Chamber.
Finally, I draw attention to Maternity Action’s position on the treatment of maternity allowance for universal credit purposes. If someone receives statutory maternity pay, it is treated as pay and they get universal credit. If they receive statutory maternity allowance, it is not treated in the same way, and they are likely to be £6,000 a year worse off than they would be in an equivalent situation with SMP.
As a practising GP, I have seen the cost of our policy. There are higher rates of post-natal depression in women, and, as my hon. Friend the Member for Gloucester (Alex McIntyre) said, men have sleepless nights and higher rates of mental health issues. Much more importantly, the children suffer.
Parental leave is a form of preventive healthcare. We need to build a parental leave system that recognises that caring is an investment in healthier families, happier children and a fairer society. Every parent, whatever their income, should have the chance to bond with their child without fear of financial hardship.
In theory, shared parental leave offers parents flexibility, but in practice, it remains inaccessible to most households. Data from His Majesty’s Revenue and Customs shows that 17,000 claimants take it up per annum, but they are generally disproportionately higher-income families, and it is hardly a mass labour market instrument. Its design is complex, its rules are difficult to navigate and pay levels are too low to make genuine choice possible. Put simply, it is a policy that works only on paper. The inequity is most evident for self-employed fathers, who are excluded entirely from the statutory framework. A self-employed mother can claim maternity allowance, but no equivalent exists for fathers. The evidence is clear: when fathers can afford to take that leave, mothers are better able to sustain labour market participation, the family income rises and the Exchequer gains through productivity and tax receipts.
I recently met a constituent, Stephen, at a street surgery in Birch Hill, and we spoke about the challenges his family faced when supporting their daughter through her cancer treatment journey. Beyond the unimaginable emotional toll of caring for his daughter Edie, Stephen spoke to me about the often-overlooked practical difficulties that arose for his family. He told me about how the cost of fuel, hospital parking and food quickly pushed his family into debt. That is why Stephen is backing calls for Hugh’s law, which would give the parents of critically ill children who are undergoing treatment job protection and entitlement to statutory paid leave from the first day of their child’s diagnosis. Hugh’s law is, of course, named after Hugh Menai-Davis, the six-year-old son of Ceri and Frances Menai-Davis.
On pay, so many young people are putting off starting a family because of the sheer cost of parenthood. When I speak to people my age, many women feel that they must return to work even before their nine months of maternity pay comes to an end. On the cost for employers, if we frame this in the context of staff morale, the conversation shifts to being about the cost of the system as it is now. What is it doing to fathers’ mental health and productivity at work when they are not able to take time off with their children? As part of the ongoing review into parental leave, which I am so proud of, I urge the Minister to consider the arguments and evidence of campaigners such as the Dad Shift, Pregnant Then Screwed and thousands of families up and down this country. Paternity and maternity pay should not push families into poverty, but provide proper time for parents to be parents.
We hear a lot about family values in this place. That has to mean taking real steps to make daily life easier and to make the sums add up at the end of the month. As a nation, we must improve maternity and paternity pay to genuinely provide all families with security and stability. We must build a country where children are nourished in their early years, parents are treated with dignity through life’s challenges and people are not sneered at for receiving support. We must build a society that offers a helping hand, nurturing rather than sanctioning—one grounded in a belief in the value of every human life, where doing all we can to give a baby the best first steps is seen not as a cost on a Treasury spreadsheet, but as the duty of a decent society and an investment in a more prosperous country for us all.
This summer, the Government announced that they would undertake a parental leave and pay review, expecting it to conclude in 18 months’ time. The Liberal Democrats welcome the Government’s commitment to that much-needed review of parental leave. Every child deserves the best possible start in life and the opportunity to flourish, no matter their background or personal circumstances. Too often, parents struggle on inadequate parental pay and without good enough access to shared leave. Childcare costs are eyewatering, and balance between family life and work has only become harder and harder to achieve. Not only is that unfair on families, but it weighs down our economy.
The Liberal Democrats have called for an overhaul of the parental leave system to give parents a genuine choice over how to manage their affairs in the first months of their child’s life. The Liberal Democrats were proud to introduce shared parental leave when in government. Years later, however, millions of parents are still being denied the choice to spend more time at home, with about a quarter of fathers ineligible for paternity pay.
Meanwhile, the Government are introducing wide-ranging changes to employment law through the Employment Rights Bill. The Bill will introduce a suite of new protections and entitlements for working families, including enhanced rights on leave, protection from dismissal and bereavement support. Eligibility for paternity leave and unpaid parental leave requires employees to have a minimum length of service in order to qualify, but from April 2026 the qualifying service requirements will be removed. That means that paternity leave and unpaid parental leave will become entitlements from the first day of employment, as the Liberal Democrats called for in our 2024 general election manifesto.
I have spoken with businesses in my constituency that tell me that they are being left in limbo by the vague framing of the Bill, which leaves crucial detail to secondary legislation and Government reviews. That prevents long-term planning, and I am disappointed that the Government did not support the Liberal Democrat amendments, which would have created more certainty for businesses.
New measures to support workers must go hand in hand with much-needed reforms to support our small businesses and bring down their costs. We know that the Government inherited a mess. We know that the cause of the mess is the legacy of reckless economic mismanagement by the previous Government, whose record is a dispiriting picture of low growth, high interest rates and a record fall in living standards. But it is disappointing that the current Government have taken decisions that have compounded many of the challenges for communities, businesses and families, while presiding over very tight public finances and a stagnant economy.
That is why we urge the Government to put in place a range of measures that will bring down business costs, unleash the power of our SMEs and power economic growth—measures such as scrapping the unfair national insurance rise, fixing the broken business rates system, bringing down the cost of energy by decoupling electricity and gas prices, and finally repairing the economic damage caused by the previous Government’s shambolic Brexit deal by cutting red tape and negotiating a new bespoke UK-EU customs union. Those actions could breathe new life into our economy and our small businesses and would go a long way towards facilitating improvements to parental leave and pay.
In our 2024 general election manifesto, we called for statutory maternity and shared parental pay to rise to £350 a week, for paternity pay to increase to 90% of earnings with a cap for high earners, and for the introduction of an extra “use it or lose it” month for fathers and partners, paid at 90% of earnings, again with a cap for high earners. Those policies would benefit not only families, but businesses and the economy, by encouraging workforce participation and making it easier for people to advance their career while starting a family.
We hope that the Government will look closely at those proposals, while introducing a robust plan to cut business costs, boost growth and empower our SMEs. More broadly, I urge them to look into the prevalent inequality in caring responsibility. What steps are they taking to support millions of family and kinship carers who have no paid leave at all? Will they commission a similar review into provision for unpaid carers and make carer’s leave paid?
I was particularly struck by the comments made by the hon. Member for Bracknell (Peter Swallow) about Hugh’s law and the need for further work on bereavement support. That reminded me of one of my constituents, Clara Gilley, who has a very unusual brain cancer. The real-life issues that she faced, and which I was dealing with as her MP, were the travel costs to Bristol—that is a long way to go from Devon—and the costs of adaptations. I recognise the calls for us to consider how we can help parents whose children are sick and unwell with the costs of that, and I hope that the Minister heard them. I have seen it at first hand, and I am sure lots of other Members will have seen similar issues.
The Conservatives are proud to be the party that champions family life. We recognise that strong families are the bedrock of a healthy society—that is something else that has come up this afternoon. Britain is one of the best places to have a child and raise a family, following measures introduced by Conservative Governments to extend free childcare, support flexible working and enable shared parental leave.
We understand the challenges facing families, which is why we updated the system to enable greater flexibility in how parental leave is taken. We wanted to ensure that parents are supported to spend the precious first few weeks and months bonding with their newborn, promoting healthy attachment that sets their child up for a successful future.
We introduced the biggest expansion of childcare in England’s history—it is heartening to see that Labour has continued our roll-out, despite its criticisms at the time. We backed new legislation to provide additional paid leave to parents whose baby requires neonatal care, allowing them to spend more time with their baby in hospital instead of worrying about returning to work or having to take unpaid leave. We strengthened protections for pregnant women and new parents against redundancy, removing workplace discrimination and improving job security. We introduced shared parental leave for new parents, allowing parents to share up to 50 weeks of leave and up to 37 weeks of pay after the birth or adoption of a child.
However, more needs to be done to encourage uptake of shared parental leave. We know that of fathers who did not take shared parental leave, 45% were not even aware that it existed, according to a 2023 review under the previous Government. Awareness is particularly lacking among smaller businesses: 94% of managers in workplaces with 250 or more employees were aware of the provision; that dropped to 71% in workplaces with fewer than 50 employees.
Importantly, our Government brought statutory adoption leave and pay in line with statutory parental leave, ensuring that adoptive parents had the same rights as birth parents. Adoptive parents also became eligible for paid time off for up to five adoption appointments—something that I personally think is entirely welcome.
Those measures rightly honour the contributions of parents who open their heart and home to children in need of a loving family; 4,500 people claimed statutory adoption pay in 2024-25. In England alone, 2,940 children were waiting for adoption as of September this year, so statutory adoption leave and pay are vital for increasing the number of adoptive parents.
As the hon. Member for Hazel Grove (Lisa Smart) noted, we need to do more to support adoptive parents who are self-employed—that has come up loud and clear this afternoon. Statutory guidance allows local authorities to make discretionary means-tested payments, equivalent to statutory adoption pay. However, as we heard from the hon. Member for York Central (Rachael Maskell), the charity Home for Good discovered that 34% of local authorities have no policy in place for those discretionary payments. Worse still, according to a 2022 survey by the all-party parliamentary group on adoption and permanence, 90% of self-employed adopters are not informed about them by their social worker.
Of course we acknowledge the calls to go further with parental leave, and I am sure that the Minister heard the pleas to include kinship carers in the review. We will scrutinise the Government’s review of parental leave, launched in July this year, to ensure that it strikes an appropriate balance between supporting families and backing businesses. It is worth noting that the UK’s parental leave policies rank comparatively well against countries around the world. The UK offers the fourth longest statutory maternity leave, topped only by Estonia, Croatia and Bulgaria, and it ranks 13th globally for length of statutory paternity leave; 90 countries have no statutory paternity leave at all.
However, there is a fine balance between supporting parents to spend precious time with their child and protecting businesses from burdensome regulations. In our current economic climate, increasing statutory maternity and paternity pay would be counterproductive for businesses —small and medium-sized enterprises especially—at a time when Labour is already saddling them with extra costs. Small business owners are facing enormous pressure: 17,000 high street businesses are expected to close this year alone, and retail businesses in my constituency tell me that they now face a doubling of their business rates. The Government’s Employment Rights Bill as a whole is projected to cost businesses up to £4.5 billion annually and it could increase the number of strikes by 53%. Increased parental pay will be no help at all if people have lost their job. In this context, it is our view that significant increases in statutory maternity and paternity pay are simply unaffordable for businesses or the public sector right now. It is also not clear how the state itself would afford the change. I am sure that the Minister will address that.
We need to protect jobs for the long term. A stable household income is one of the most important factors in ensuring healthy, happy children who will grow into bold and ambitious adults. The Government’s Employment Rights Bill stifles small businesses when they are already gasping for oxygen. It overreaches, snatching choice out of the hands of business owners, who are best placed to balance the interests of their staff members with the viability of their business overall.
When it is practical and affordable, many businesses already offer enhanced maternity and paternity pay in order to retain talent—something that has been stressed this afternoon. A survey of 460 organisations by Brightmine in June 2024 found that 75% of private sector organisations and 97% of public sector organisations already offer enhanced maternity pay. Any changes to statutory maternity and paternity pay must be done after consulting businesses. We must avoid saddling them with yet more unaffordable costs at a time when they are facing immense pressure. Flourishing businesses provide stable income for families, leading to a strong economy and a brighter future for the next generation. The Conservatives’ record demonstrates our support for parents and families, but that must be done sustainably, in a way that backs businesses rather than stifling them.
We heard a number of excellent and thoughtful contributions. I had intended to attempt to run through all of them and respond individually, but what was most striking about the debate—until the closing contributions —was the significant unity in the room. Members have come together from across parties to speak with one voice. That shows why the Government’s review is so important. The myriad issues that new parents face—with health, finances, spending time with their children and so on—are so complex and the need for change is not lost either on me or on the Government more widely.
I will respond to a handful of the contributions—and how could I not begin with my hon. Friend the Member for Gloucester (Alex McIntyre)? I am afraid I am not going to give his son a birthday present today, but I send my very best wishes and congratulations. I know that my hon. Friend is a loving and caring parent and I am sure that he has something lovely planned once we get away from the votes this evening. He and several other hon. Members asked whether certain aspects of the complex web of parental pay are in scope of the review, so let me clarify the eight areas that are in scope: maternity leave and pay; paternity leave and pay; shared parental leave and pay; unpaid parental leave; adoption leave and pay; parental bereavement leave and pay; neonatal care leave and pay; and maternity allowance.
The point about discretionary payments by the hon. Member for York Central (Rachael Maskell) was well made. I have responded to a Westminster Hall debate before on that specific issue. I undertook then to take it away and feed it into the review, which is being led predominantly by the Department for Business and Trade. I did that then, and I will do so again now.
I want to recognise the contribution of my hon. Friend the Member for Sherwood Forest (Michelle Welsh), who is a champion on maternity and maternity rights. She is entirely right to set out the importance of the first few weeks, months and years—the first 1,001 days. I also recognise the challenge set down by my hon. Friend the Member for Walthamstow (Ms Creasy).
Let me say at the outset that I will be disappointing hon. Members, because I will be pointing to the importance of allowing the review to run its course. I do so because an incredibly complex web of support has evolved since 1948, with significant changes since then—the Opposition spokesperson, the hon. Member for South West Devon (Rebecca Smith), set out the many changes made just by her Government. We have one chance to get this right. We have waited a long time for this review. We want to take the time not only to undertake the call for evidence, which we have already done, but to consult trade unions, employers, and parents and families before we have a public consultation.[Official Report, 3 November 2025; Vol. 774, c. 7WC.] (Correction)
I appreciate that parental leave and pay are vital to new mums and dads, giving them the space to spend time together as a new family. The first months and moments are critical in ensuring that a child is happy, healthy and well adjusted. It is something that runs deeper than pound signs and percentage points. Bringing a child into the world or into our home is a major event in anyone’s life. It is one that parents should enjoy free from the stresses of the workplace. However, we know that the current system is not working for everyone.
It is almost 40 years since statutory maternity pay was introduced for working women in 1987. It is half a century since maternity leave was introduced in 1975, and almost 75 years since the start of maternity allowance in 1948. In the years since, the world of work and the world at large have changed beyond recognition. Gone are the age-old stereotypes about men belonging in the workplace and women in the home. The lines between home and work have never been more blurred. As times have changed, there have been tweaks and updates: paternity leave and adoption leave in 2003; shared parental leave and pay in 2014; and neonatal care leave just this year. But, like a road network that evolves over time, the process is no longer as simple to navigate. We need something that is purpose-built for people’s journeys today.
In July, in partnership with the Department for Business and Trade, we launched the parental leave and pay review. It is time to go back to first principles, to work out exactly what the system needs to deliver and for whom—mums, dads and others—and to consider all the options before mapping out a new way forward. That starts with our remembering why maternity pay was introduced in the first place. It was primarily about the health and safety of women and their babies during pregnancy and in the months following childbirth. That is why, as the review progresses, the first objective that we have in mind for the parental leave and pay system, although not the only one, is ensuring that it supports maternal health by making sure women have enough money and time off work to stay healthy—physically and mentally—during the latter stages of their pregnancy and while recovering from birth.
Secondly, the approach needs to promote economic growth. When we give more new parents the freedom to stay and progress in work, it is not just mums, dads and kids who benefit; employers, too, benefit from keeping parents’ skills and experience. At present, just over half of new mothers go back to their old job following the birth of their child. We want to build a system in which every mother feels supported if they make that choice. New figures show that five years after a first birth, the average mother’s earnings will have dropped by more than £1,000 a month. Mothers deserve better.
Our third objective is to help children to get the best start in life by giving new parents the resources and space to give the care and attention their new arrivals need. Fourthly, we need to support parents’ childcare choices so that parents can balance care and work in a way that works for them, enabling co-parenting and reflecting the realities of modern work. Ultimately, we want a system that is fairer and easier to use, and that works better for parents and employers.
Let me return to what I was saying about the requirement for a fairer system. We should not pretend that there will be easy answers as we go through this work—some difficult balances will need to be struck. The benefits of allowing parents flexibility must be weighed against the direct costs to employers and the public purse.
The petition asks us to increase the rate of statutory maternity and paternity pay to match the national living wage. We should note that maternity pay has never been intended to fully replace a mother’s earnings, and any moves in that direction should not be made lightly. The costs of statutory parental pay are largely paid by the taxpayer, with employers able to reclaim at least 92% of the cost from HMRC.
I return to the petition’s specific ask of matching parental pay with the national living wage. The Government currently spend about £3 billion a year on statutory maternity pay and maternity allowance alone. This petition asks us to more than double the rate of maternity and paternity pay—in fact, it seeks a 144% increase. That would be far from a trivial expense at a time of difficult fiscal choices. I am not saying that that will not happen at this point in time—I do not know; we need to go through the process of the review—but we have to take the time to carefully consider such questions, given the significant financial implications, before any decisions are made.
I am cognisant of the time, so I will skip forward by reminding Members that maternity and paternity leave are just one part of the wider picture of financial support for parents. Maternity allowance is available for self-employed women and employed women who do not already qualify for statutory maternity pay. Child benefit is available from the date of a child’s birth, and the Sure Start maternity grant offers a £500 lump sum to mothers receiving one of a range of qualifying benefits.
This is probably the most powerful debate that I have attended in Westminster Hall. I will certainly ensure that all the points that have been raised with me are fed back. This is a particularly important issue not just for my hon. Friend and his constituents, but more widely.
Moving through a child’s life, starting from this year, working parents—including those on maternity, paternity, adoption or shared parental leave—can now claim up to 30 hours of free childcare for children between the ages of nine months and four years. Tax-free childcare can also help parents to save up to £2,000 a year on the cost of childminders, play schemes, after-school clubs, nurseries and nannies. All infant pupils in Government-funded schools are eligible for free school meals, as are older children whose parents receive certain benefits. Our child poverty taskforce has been looking at what else we can do to drive down family costs, raise family incomes and give every child the best start in life. Our strategy will be published later in the year.
Work will be at the heart of our approach. Good work is vital to achieve lasting change and to our central mission of growth. That is why our review of parental leave and pay is a key part of our plan to make work pay. It will build on the progress we are already making through our work to tackle low pay, poor working conditions and job security. We are breaking down barriers for parents so that we can raise living standards, and so that they can raise the next generation.
I thank hon. Members for sharing their experiences and those of their constituents, which has powerfully showed the need for change in this area. I also thank the Minister for setting out the criteria of the review. I know that he cares passionately about these issues. Despite what the hon. Member for South West Devon (Rebecca Smith) said, there is a real need for change, as we have heard throughout the debate. The Government’s parental review is the very first of its kind, and while it shows that the Minister and the Department are willing to listen, it must lead to real action with clear milestones for reform so that we do not see millions of families falling into poverty.
I welcome the Minister saying that he will draw on the evidence he heard today, as well as submissions from unions, employers and families. No parent should have to face poverty in bringing up their newborn. If we get this right, we can strengthen family life, improve equity and give every child a fairer start.
Question put and agreed to.
Resolved,
That this House has considered e-petition 715292 relating to statutory maternity and paternity pay.
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