Neonatal Care Leave and Pay | Your rights and what you need to know

The arrival of a new baby is a special time for families, but occasionally complications arise which mean an admission to Neonatal Care is required. During these difficult and anxious times, parent(s) would currently have this time included within their Maternity/ Paternity Leave. However, the Government has confirmed that a new right to neonatal leave and pay will be introduced and will take effect from 6th April 2025 under the Neonatal Care (Leave and Pay) Act 2023.

In readiness for the commencement of these rights, the Government has provided guidance under The Neonatal Care Leave and Miscellaneous Amendments Regulations 2025 (the “Regulations”). 

Who will be eligible?

From 6th April 2025 employees will have the benefit of Neonatal Care Leave from either day one of their employment (if they are newly employed) and for all other employees with effect from 6th April 2025 for a child born on or after that date. 

Neonatal Care Leave will be available to parents of babies who are admitted into neonatal care within 28 days of their birth and who have a continuous stay in hospital of 7 full days or longer. These measures will allow eligible parents to take up to 12 weeks of leave in addition to any other leave they may be entitled to, including maternity and paternity leave. Alongside the leave entitlement, Statutory Neonatal Care Pay will be available to those who meet continuity of service requirements and a minimum earnings threshold. 

For an employee to be eligible to take neonatal care leave, when the child is born, the Regulations state that the employee must be:

•    The child’s parent
•    An intended parent of the child
•    The partner of the child’s mother 
•    Expecting to have responsibility for the upbringing of the child 
•    Adopting or a prospective adopter of the child 

Definition of neonatal care 

Neonatal care is the care given to a baby born prematurely or receiving care in a specialist unit following their birth and under the Regulations, neonatal care is broken down into three categories:

a)    Medical care in a hospital;
b)    Medical care received in any other place after they have been discharged from hospital. 
The child was an inpatient in hospital and will receive care upon leaving hospital.
The care must be under the direction of a consultant, and includes ongoing monitoring of the child by healthcare professionals; and 
c)    Palliative or end-of-life care 

Under the new right, neonatal care of the employee’s baby must have taken place or begun within 28 days of their birth and care must continue for a period of at least 7 continuous days. 

How much leave can be taken?

Employees who are eligible and entitled to statutory neonatal care leave and pay can take one week of leave for every 7 days the infant is in receipt of uninterrupted neonatal care. The week starts on the day after the neonatal care commences. 

In cases where more than one child is born, (i.e. twins), parents will not be eligible to 12 weeks for each child, their total entitlement to leave will still be capped at 12 weeks. 

When can neonatal leave be taken?

The Regulations provide that any neonatal care leave must be taken within 68 weeks of the child’s birth (or placement / entry into Great Britain if the child is adopted). This is referred to as the ‘qualifying period’.

The intention with the new legislation is that any neonatal leave that is taken is added onto the end of any period of family leave that the employee is already taking, i.e. maternity leave. 

In the event that any neonatal care leave would need to be taken when an employee is not already on family leave, or their leave has run out (i.e. paternity leave), there is a distinction between the time the leave is used and is referred to as tier 1 or tier 2 periods.  The Regulations define the two periods as:

“Tier 1 period’ is the period beginning with the day the child starts receiving neonatal care and ending with the seventh day after the child stops receiving neonatal care. 

‘Tier 2 period’ means any period of time in the qualifying period which is not the tier 1 period.”

How can you give notice to your employer?

The level of notice that employees will need to give to their employer will depend on when the neonatal leave will be taken and whether this will be in the tier 1 or tier 2 period. 

Where possible, employees should try to give their employer notice in the same way that they would give notice for any other parental leave to be taken. 

Please note that an employee and employer can agree to mutually waive any notice requirements. 

Statutory Neonatal Care Pay

Under The Statutory Neonatal Care Pay (General) Regulations 2025, “to be eligible for Statutory Neonatal Care Pay, employees will need to meet the minimum earnings threshold. You will need to have a minimum of 26 weeks’ continuous service ending with the relevant week (which is the 15th week before the week in which the baby is due (approximately the 25th week of pregnancy)).”  

Employees could choose for Statutory Neonatal Care Pay to be paid for a week only if the employee cared for or intends to care for the child during that week. 

Alternatively, an employee can choose for Statutory Neonatal Care Pay to be paid in a tier 1 period, in a single week for a number of weeks consecutively, or in a tier 2 period for a single week or for a consecutive period of weeks. 

If you need further advice and guidance with regards to Neonatal Care Leave and Pay contact us today for more details on 01926 491181 or by email at employment@moore-tibbits.co.uk.