Neonatal Care Leave and Pay

From 6 April 2025, the Neonatal Care (Leave and Pay) Act 2023 will come into force, introducing new rights for parents whose babies require neonatal hospital care. The Act provides up to 12 weeks of paid leave, in addition to existing maternity, paternity, and shared parental leave entitlements.

For employers, this marks a significant shift in family-friendly workplace rights, ensuring that parents facing the stress of neonatal care have the time and financial support they need.

Who is eligible for Neonatal Care Leave (NCL)?

NCL will be available from day one of employment, ensuring that all parents, regardless of their length of service, can access this right. The leave applies where:

• the baby is born on or after 6 April 2025;
• the baby is admitted to hospital within the first 28 days after birth;
• the baby requires a continuous stay in hospital of seven days or more.

The right applies not only to biological parents but also to:

• intended parents (for surrogacy arrangements);
• partners of the baby’s mother, including those in long-term relationships who expect to share parental responsibility;
• adoptive parents, under similar eligibility rules.

Employees can take the leave flexibly at any point within the first 68 weeks of the child’s life, providing greater support to families managing complex medical care.

What about Neonatal Care Pay?

While all employees will be eligible for NCL, the right to receive Statutory Neonatal Care Pay (SNCP) is subject to additional eligibility requirements. Employees must:

• have at least 26 weeks’ continuous service before starting NCL;
• earn at least £123 per week on average (the same threshold as statutory maternity and shared parental pay).

Employers will need to process SNCP payments in a similar way to other statutory parental leave entitlements. Reimbursement mechanisms for businesses, such as recovery of statutory pay from HMRC, are expected to mirror existing family leave frameworks.

What Does This Mean for Employers?

Policy Updates & HR Preparedness

Employers should review and update their family leave policies to incorporate Neonatal Care Leave and Pay. HR teams should be trained on the new entitlements, including:

• handling employee requests for neonatal leave;
• confirming eligibility for statutory pay;
• managing flexible leave arrangements within the 68-week entitlement period.

Workforce Planning & Absence Management



With up to 12 weeks of additional leave available, employers, particularly those in small businesses or critical operations, may face challenges in workforce planning.

Businesses should consider:

• contingency staffing solutions, such as temporary cover;
• supporting returning employees, particularly those managing ongoing medical needs for their child.

Final Thoughts

Reinforcing the Government’s focus on workplace rights for parents, a key objective of this legislation is to ensure that parents can prioritise their baby’s health without financial hardship or job insecurity. While the new rights provide vital support for families, they also introduce new challenges for employers in managing extended employee absences and statutory pay obligations.

At Boardside Law, we advise businesses on employment law compliance and family-friendly workplace policies. If you need guidance on implementing these changes, please get in touch.