A new right to Neonatal Care Leave and Pay will come into force across Great Britain for babies born on or after 6 April 2025. This means that eligible employees who have a baby in neonatal care will have access to extra time off to help them balance work and family life during what can be a very stressful time.
As a manager, it will be important for you to understand the basics so you can support your team and comply with the law. Here’s what you need to know.
What Is Neonatal Care Leave and Pay?
This new right is designed for parents of babies who need to spend seven or more consecutive days in neonatal care within the first 28 days of birth (e.g. because they were born prematurely or full term but poorly at birth). It gives eligible employees extra time off work—on top of their existing maternity, paternity, adoption, or shared parental leave—so they don’t have to use up their annual leave or take unpaid time off.
Who Can Take Neonatal Leave?
Neonatal Leave is available to all employees from day one of their employment, regardless of how long they’ve worked for you.
Neonatal Pay (which will be at a statutory rate of £187.18 per week with effect from 6 April 2025) is available to those who have:
✔ At least 26 weeks of service with you
✔ Earned at least the Lower Earnings Limit for National Insurance Contributions, i.e. £123 per week (before tax) - note this figure is rising to £125 per week in April 2025.
Both birth and adoptive parents can use Neonatal Leave.
How Much Leave Can Be Taken?
Employees can take up to 12 weeks of Neonatal Leave. This is in addition to any other family leave they are entitled to (i.e. maternity, paternity, adoption or shared parental leave). For example, a father taking two weeks’ Paternity Leave could then take up to 12 weeks of Neonatal Leave depending on how long his baby had been in the hospital. The actual amount of Neonatal Leave that can be taken will be based on employees having one week of Neonatal Leave for every 7 consecutive days of neonatal care that is received - up to a maximum of 12 weeks.
Neonatal care is defined as medical care in a hospital, or care under the direction of a consultant after a period of inpatient treatment, or palliative and/or end-of-life care.
Neonatal Leave will need to be taken in the first 68 weeks of the baby’s birth or adoption. There will be different notice requirements depending on whether the leave is being taken whilst the child is in neonatal care or afterwards.
What Do I Need to Do as a Manager?
✅ Be aware – Make sure you and your team understand the basics of this new right.
✅ Be supportive – Employees dealing with neonatal care will be under stress. Clear communication and a flexible approach will go a long way.
✅ Be prepared – Your HR or payroll team will need to be ready to process requests for Neonatal Leave and Pay. Check that your policies and systems are updated.
Regulations to set out the key details are currently being considered by Parliament and HR Duo will update policy and letter templates to fully reflect these new changes.
Request a free demo of HR Duo today.
