What is the new neonatal care leave?

On 6 April 2025, the Neonatal Care (Leave and Pay) Act 2023 takes effect.

It grants eligible employees the right to neonatal care leave and pay if they have a parental or other personal relationship with a baby.

The right to Neonatal Care Leave (NCL)

NCL will be a day-one right and therefore no specific period of employment service is needed.

It is in addition to other family leave entitlements such as maternity and paternity leave.

NCL must be taken with 68 weeks of the birth and may last for a maximum of 12 weeks.

To qualify, the following conditions must be met:

1) the baby is born after 6 April 2025;

2) the employee is the baby’s mother, or intended parent (if born through surrogacy), or partner to the baby’s mother, and must have or expect to have responsibility for raising the baby;

3) the baby is admitted to neonatal care within 28 days of birth and remains in care for at least 7 continuous days.

NCL must be taken in blocks of one week, and not parts of a week.

The right to statutory neonatal care pay (SNCP)

SNCP will be payable to eligible employees with at least 26 weeks’ continuous service and earning at least the lower earnings limit (currently £125.00) over a specific period of time.

It will be payable at the rate of either £187.18 per week, or 90% of average weekly earnings if lower. SNCP is payable for a maximum of 12 weeks.

What are the Tier 1 and Tier 2 leave periods?

There are two categories of NCL leave, depending on when NCL is taken.

Tier 1 period leave applies to leave taken while the baby is still receiving neonatal care and up to 7 days after that care ends. It can be taken in non-continuous (minimum 7-day) blocks at a time.

Tier 2 leave applies to leave taken more than 7 days after the neonatal care has ended. Unlike Tier 1 leave, it must be taken in one continuous block.

Protections

Employees that take NCL have the right to return to the same job or if not reasonably practicable in some circumstances, to a suitable and appropriate position.

If they are at risk of redundancy during NCL (or in the 18 months from the birth or adoption of the child in the event they have taken at least six consecutive weeks of family-friendly leave) the employee will have the right to first refusal of any suitable alternative vacancy.

They will also have the usual protection from detriment or dismissal if it is relating to them taking NCL.

What should employers do?

Employers should immediately familiarise themselves with NCL rights and determine how best to support their staff during a period of neonatal care.

NCL may be taken at any time within the first 68 weeks of the baby’s birth. Therefore, if an employee is already on some form of family leave, NCL can be taken after that leave ends.

There are specific requirements for employees to give notice of taking NCL and requesting SNCP, and employers should ensure that they are aware of these notice requirements.

Employers should also ensure that they review and update their workplace policies to comply with the new legislation.

If you have any questions or concerns about the new neonatal care leave or family leave generally, please contact Employment lawyer Emma Clark.