Regulations have now been published by the government supporting the introduction of neonatal care leave and pay in the workplace from 6 April 2025 under the new Neonatal Care (Leave and Pay) Act 2023.
The Neonatal Care Leave and Miscellaneous Amendments Regulations 2025 outline the eligibility criteria, notification requirements and entitlement details for employees taking neonatal leave. Separately, the Statutory Neonatal Care Pay (General) Regulations 2025 establish the payment framework for employees taking time off to care for their newborns in neonatal care.
The new regulations mark a significant expansion of statutory family leave rights, bringing in legal protections and financial support for parents dealing with unexpected hospital stays for their children.
Employers will need to take action to prepare for these new entitlements, which come into force from 6 April 2025.
Neonatal Care Leave (NCL)
Under the new law, Neonatal Care Leave (NCL) is a day-one right, meaning employees are entitled to take leave regardless of their length of service. It applies to parents whose newborns are admitted to neonatal care within 28 days of birth and require a continuous hospital stay of at least seven days. Eligible employees, including biological parents, adoptive parents and intended parents via surrogacy, must take the leave to care for the child.
Employees can take up to 12 weeks of NCL per child, in addition to other statutory parental leave entitlements, such as maternity or paternity leave. The leave must be used before the child reaches 68 weeks old, offering flexibility for parents depending on their circumstances.
To request NCL, employees must provide appropriate notice, which varies depending on whether the leave is taken during or after the neonatal care period. Employers should be aware that written notice requirements may apply in some cases, and mutual agreements can allow flexibility.
Statutory Neonatal Care Pay (SNCP)
Employees who meet the eligibility criteria can receive Statutory Neonatal Care Pay (SNCP) for up to 12 weeks, aligning with their period of NCL. To qualify, an employee must have at least 26 weeks of continuous service by the end of the 15th week before the expected week of childbirth and earn at least the Lower Earnings Limit (currently £123 per week).
SNCP will be paid at a rate of £187.18 per week (2025 /2026 rate) or 90% of average weekly earnings, whichever is lower. This provides financial stability to parents taking time off to care for their newborns, ensuring they are not disadvantaged while fulfilling their caregiving responsibilities.
Employer considerations
To comply with these changes, employers should update their family leave policies, ensuring they reflect the new NCL and SNCP entitlements. Payroll teams must be prepared to process SNCP payments accurately and HR departments should train managers on how to handle NCL requests efficiently.
Businesses should also plan for workforce impact, especially in industries with tight staffing levels. Strategies such as cross-training employees and hiring temporary cover may help mitigate potential disruptions due to neonatal leave absence.
For advice on how to prepare your organisation for the new rules, contact us.
Author
Founder and Managing Director Anne Morris is a fully qualified solicitor and trusted adviser to large corporates through to SMEs, providing strategic immigration and global mobility advice to support employers with UK operations to meet their workforce needs through corporate immigration.
She is a recognised by Legal 500 and Chambers as a legal expert and delivers Board-level advice on business migration and compliance risk management as well as overseeing the firm’s development of new client propositions and delivery of cost and time efficient processing of applications.
Anne is an active public speaker, immigration commentator, and immigration policy contributor and regularly hosts training sessions for employers and HR professionals
