Neonatal Care (leave and pay): new rights for parents, new duties for employers

Earlier this year, we reported on the expansion of parental employment rights through the Neonatal Care (Leave and Pay) Act 2023, which came into force on 6 April 2025. Now, six months on from its implementation, we take a closer look at how these new rights and responsibilities apply in practice.

Rights for Parents

 The 2023 Act introduced a new “day one” right for eligible parents to take Neonatal Care Leave when their baby is admitted to neonatal care for a consecutive period of (at least) 7 full days. The amount of leave available to parents, is dependent on the duration of the baby’s stay in care, with parents able to take up to a maximum of 12 additional weeks of neonatal care leave, on top of their existing parental leave entitlements.

Eligible employees who meet the service requirement—having worked for their employer for at least 26 weeks prior to the qualifying week—will also be entitled to Statutory Neonatal Care Pay. This payment is made in addition to any maternity, paternity, or adoption pay to which the parent is also entitled.

Guidance for Employers

To support employers in understanding and applying these new requirements, the Department for Business and Trade issued detailed guidance in August 2025.

Eligibility Criteria

In order for parents to be considered ‘eligible’ for leave, their baby must:

• be born on or after 6 April 2025;
• have entered neonatal care within 28 days of birth; and
• have spent at least seven consecutive days in neonatal care.

Furthermore, the definition of “parent” is broadly interpreted, encompassing:

• Birth mothers and their partners;
• Biological fathers;
• Adoptive parents;
• Intended parents (in a surrogacy arrangement); and
• Surrogate birth mothers (in circumstances where they retain responsibility for the baby).

The scope of ‘neonatal care’ is also widely interpreted, allowing for:

• Medical care received in a hospital (not limited to neonatal units);
• Medical care given to the baby after hospital discharge under the direction of a consultant, including regular monitoring or home visits from healthcare professionals arranged by the hospital; and
• Palliative or end-of-life care.

In order to qualify for both Neonatal Care Leave and Pay, parents must have responsibility for the baby during its care period and be providing care for the baby during the period in which they are receiving statutory payments.

As previously outlined and as with other family-related entitlements, in order to qualify for Statutory Neonatal Care Pay, the parent must have worked for the employer for a period of 26 weeks ending with the qualifying week. The ‘qualifying week’ matches that of other parental statutory entitlements. For birth parents, this ‘qualifying week’ is in line with that for maternity and paternity pay, being 15 weeks before the baby is due. For adoptive parents, the qualifying week is that in which the parents were told they had been matched with their child.

Timing of Leave

Parents must take all Neonatal Care Leave within 68 weeks of the baby’s birth. Leave may be taken in two ‘tiers’:

• Tier 1: Allows for increased flexibility for parents, as leave can be taken in blocks of one week or more, whilst the baby is receiving neonatal care, and for one week after they are discharged. This leave can be taken with short notice and allows parents to respond quickly to emergency situations without the added stress of arranging leave from work.
• Tier 2: Leave can be taken from one week following the baby’s discharge from neonatal care and can be taken as one continuous block. Tier 2 leave, must however be taken around any pre-existing parental leave such as maternity and paternity leave.

Information Requirements

Employees will need to provide employers with sufficient information to confirm eligibility for leave and pay. If an employer wishes to take leave, they must provide their employer with the relevant information, being:

• The date of their baby’s birth;
• The date their baby started to receive neonatal care;
• The date on which their child stopped receiving neonatal care (if applicable at the time);
• Confirmation of the parental relationship criteria;
• Confirmation that they are caring for, or intend to care for, the baby during the relevant period; and
• The Tier of leave they wish to take, along with the intended start date of this leave.

It is not appropriate for Employers to request medical evidence in line with the requirement for ‘sufficient information’.

Tier 1 leave notice does not require to be given in writing, however it does require to be given to the employer prior to the start of their working day/shift, or as soon as possible after that. If continued leave is sought at the end of each block of leave, additional notice must be given as required, and prior to the end of the previous block.

Tier 2 leave notice, on the other hand, does require to be in writing, and must be given in advance. If the employee intends to take one week of leave and pay, they must provide notice 15 days in advance. If the employee is seeking leave of two or more weeks, they must provide 28 days’ notice.

Conclusion

These new neonatal provisions create greater support for parents at a time when they need it most, however, it is important that Employers are prepared to rise to the occasion. Employers should take the time to familiarise themselves with the recent guidance and review internal policies to ensure compliance with legislation. Given the difficult circumstances facing employees who require to make use of these provisions, it is equally important that Employers create a supportive environment, and train HR teams and managers on the guidance.

This update provides general information only and does not constitute legal or professional advice. If you or your organisation would like to learn more about neonatal care leave and pay, or receive support with related policies and adherence to the guidance, please contact our Employment Law team.