Neonatal Care Leave Explained: Definition, Eligibility & How It Works

Neonatal care leave is a statutory right that gives parents up to 12 weeks of paid leave when their newborn baby is admitted to neonatal care within 28 days of birth. Introduced by the UK Employment Rights Bill 2024, this leave is designed for the small but growing number of families who face the stress of a critically ill newborn without the safety net of existing parental leave provisions.

If you are an HR leader or a business owner in the UK, understanding this new entitlement is essential — it is a legal requirement that will come into force once secondary legislation is finalised.

This article is general information, not legal advice. Always check the latest guidance from gov.uk before implementing a policy.

Key Takeaways

• Neonatal care leave provides up to 12 weeks of leave for parents whose newborn is admitted to neonatal care within 28 days of birth (gov.uk).
• The leave is in addition to existing maternity or paternity leave — it does not replace or reduce it.
• Neonatal care pay is set at the same rate as statutory paternity pay during the initial period, rising to statutory sick pay rates for the remainder.
• Eligibility mirrors statutory paternity leave — you need 26 weeks of continuous employment and earnings at or above the lower earnings limit.
• Employers must notify employees within seven days of a leave request if they plan to deny it (with specific statutory reasons).

What Is Neonatal Care Leave?

Neonatal care leave is a new statutory entitlement created under the Employment Rights Bill 2024. It applies when a baby is admitted to a neonatal care unit within 28 days of birth and the stay lasts at least seven continuous days.

The leave is available to the birth mother, the father, or the partner of the birth mother. It runs separately from maternity, paternity, and adoption leave — parents do not have to give up any of their existing leave entitlement to take it.

The leave can be taken in a single block or split into two separate periods, depending on the baby’s hospital stay.

Who Is Eligible?

Eligibility for neonatal care leave mirrors the qualifying conditions for statutory paternity leave. To qualify, an employee must:

• Have been continuously employed for at least 26 weeks before the baby’s expected week of birth.
• Earn at least the lower earnings limit for National Insurance purposes (currently £123 per week for 2025/26).
• Give the employer at least 15 days’ notice before the leave is due to start.

There is no minimum service requirement to take neonatal care leave itself — only to qualify for neonatal care pay. Employees who do not meet the pay threshold can still take the leave, just without statutory pay.

How Much Leave Can You Take?

The maximum entitlement is 12 weeks of neonatal care leave. The amount depends on the length of the baby’s hospital stay:

Hospital Stay Length	Leave Entitlement
7 to 13 days	Up to 1 week of leave
14 to 20 days	Up to 2 weeks of leave
21 to 27 days	Up to 3 weeks of leave
28 to 34 days	Up to 4 weeks of leave
35 to 41 days	Up to 5 weeks of leave
42 to 48 days	Up to 6 weeks of leave
49 to 55 days	Up to 7 weeks of leave
56 to 62 days	Up to 8 weeks of leave
63 to 69 days	Up to 9 weeks of leave
70 to 76 days	Up to 10 weeks of leave
77 to 83 days	Up to 11 weeks of leave
84 days or more	Up to 12 weeks of leave

Leave must be taken within 56 weeks of the baby’s birth.

How Does Neonatal Care Pay Work?

Neonatal care pay has two tiers:

• First 12 weeks: Paid at the same rate as statutory paternity pay — 90% of average weekly earnings, capped at the statutory rate.
• Remaining weeks: Paid at the rate of statutory sick pay.

This is a meaningful difference. For 2025/26, statutory paternity pay is £187.18 per week (or 90% of earnings if lower), while statutory sick pay is £118.75 per week. Employers who offer enhanced pay on top of statutory minimums should decide now whether to extend that to neonatal care pay.

The government has confirmed that small employers (fewer than 50 employees) can reclaim 100% of neonatal care pay through the payroll system.

Notice and Documentation Requirements

Parents must give at least 15 calendar days’ notice before the leave begins. They also need to provide:

• The date the baby was admitted to neonatal care.
• The expected date of release from neonatal care.
• Confirmation that the baby is their child (birth certificate or equivalent).

Employers have seven days from receiving notice to confirm the leave arrangement. If the employer needs to refuse leave (for genuine business reasons, such as the employee being in a role where absence would create a serious risk to the business), they must notify the employee within seven days and explain the reasons.

Refusing neonatal care leave is narrowly limited and carries significant legal risk. Most employers should plan to accommodate it.

What HR Teams Need to Prepare

Here is what you need to do before this entitlement comes into force:

1. Update your employee handbook to include neonatal care leave and pay policies.
2. Train managers on the new entitlement — they need to understand the notice period, documentation, and the limits on refusal.
3. Set up a tracking process in your leave management system to record neonatal care leave separately from maternity, paternity, and adoption leave.
4. Decide on enhanced pay if you currently offer enhanced statutory leave pay. Align your neonatal care pay policy with your existing parental leave benefits.
5. Communicate the policy to all employees before the law comes into effect so families know what is available to them.

Frequently Asked Questions

Does neonatal care leave replace maternity or paternity leave?

No. Neonatal care leave is an additional entitlement on top of existing maternity, paternity, and adoption leave. Parents do not need to give up any of their existing leave to take neonatal care leave.

Can both parents take neonatal care leave at the same time?

Yes. Both parents can take neonatal care leave concurrently if the baby is admitted to neonatal care. There is no restriction on simultaneous leave, though employers may want to consider operational planning if both parents work for the same organisation.

When does neonatal care leave come into force?

The Employment Rights Bill received Royal Assent in July 2025. The neonatal care provisions will come into force on a date set by secondary legislation — expected in April 2026 or later. Employers should prepare now even if the exact date is not yet confirmed.

Can an employer refuse neonatal care leave?

Employers can refuse leave only in limited circumstances where granting it would cause a serious risk to the business (such as in roles involving safety-critical work with no available cover). Refusal must be justified in writing within seven days of the request.

Do agency workers qualify for neonatal care leave?

Agency workers do not qualify for neonatal care leave under the current legislation. The entitlement applies to employees and workers who meet the qualifying conditions.

Tracking Neonatal Care Leave Alongside Other Entitlements

Neonatal care leave adds another layer of complexity to leave tracking. When you manage parental leave, statutory sick pay, and annual leave across multiple jurisdictions, a centralised system makes the difference between staying compliant and scrambling through spreadsheets.