HR Hub

Parental leave and pay - review launched

The government has launched a comprehensive review of the system of parental leave and pay entitlement.

All current and upcoming parental leave and pay entitlements will be in scope of the review, namely: maternity leave and pay, paternity leave and pay, adoption leave and pay, shared parental leave and pay, parental bereavement leave and pay, parental leave (unpaid), neonatal care leave and pay, and maternity allowance. See call for evidence and the terms of reference.

The current system and the case for future reform will be assessed against four objectives:

maternal health: supporting the physical and mental health, recovery and wellbeing of women during pregnancy and post-partum by giving them sufficient time away from work with an appropriate level of pay
economic growth through labour market participation: supporting economic growth by enabling more parents to stay in work and advance in their careers after starting a family, particularly to improve both women’s labour market outcomes and the gender pay gap, reducing the ‘motherhood penalty’, and harnessing benefits for employers
best start in life: ensuring sufficient resources and time away from work to support new and expectant parents’ wellbeing and facilitating the best start in life for babies and young children, supporting health and development outcomes
childcare: supporting parents to make balanced childcare choices that work for their family situation, including enabling co-parenting, and providing flexibility to reflect the realities of modern work and childcare needs.

The review is expected to report its conclusions and recommendations in 18 months’ time, i.e. January 2027.

Changes to the parental leave system are already underway via the Employment Rights Bill which will: