The Law, The Facts & Life Back on Track

Neonatal Care Leave and Pay Act 2023: Key changes for parents of babies needing hospital care

Boyes Turner

The pressure on parents when a newborn requires extended hospital care can be overwhelming. Between hospital visits, financial strain, and workplace demands, families face challenges from all sides. That's why the Neonatal Care Leave and Pay Act 2023 represents such a critical development for UK parents.

Rachel Makore, a medical negligence solicitor who specialises in birth injury cases, joins employment law expert Janey Rankin to unpack everything you need to know about the Neonatal Care Leave and Pay Act 2023. Coming into force on 6th April 2025, this Act provides eligible parents with up to 12 weeks of additional leave and pay when their baby requires neonatal care for at least seven consecutive days.

What makes this legislation particularly powerful is that the leave entitlement is a day-one right for both mothers and fathers, removing barriers that have historically made it difficult for many parents, especially fathers, to be present during these critical early days. The Act acknowledges the gender-neutral nature of parenting responsibilities and ensures financial protection, with statutory pay of £184 weekly for eligible parents.

We also explore crucial workplace protections under the Act, preventing employers from penalising parents who exercise these rights. Beyond the Neonatal Care Act, we discuss other recent and upcoming legislative developments that strengthen parental workplace protections, including enhanced redundancy protections for pregnant women and those returning from family leave, statutory carer's leave, and proposed changes to make paternity leave a day-one right.

Whether you're an expectant parent, employer, or healthcare professional, this episode provides essential knowledge about rights and responsibilities when a newborn needs specialised care.

If you or a family member has suffered an injury as a result of medical negligence, or you need support with an employment law matter, please contact us on mednegclaims@boyesturner.com or elg@boyesturner.com

Episode links:

Rachel Makore 

00:03
Hello and welcome back to the Boyes Turner podcast series the Law, the Facts and Life. Back on Track. My name is Rachel Makore and I'm a medical negligence solicitor, and here with me today is my colleague, Janey Rankin, who's an employment law solicitor, also at Boyes Turner. Hello everyone, thanks for joining me today, Janey. Hello everyone, thanks for joining me today, Janey. 

00:27
We've got an important topic to discuss and it's one that's especially relevant for parents, families and employers alike. 

00:31
The Neonatal Care Leave and Pay Act 2023 is coming into force soon and has introduced some big changes to parental leave in the UK. As a clinical negligence solicitor that specialises in helping the families of those whose children have sustained injuries at the time of birth or those whose children have sustained an injury during the neonatal period, I see the pressure those families are often under, having to spend prolonged periods of time in hospital with their newborns. I see this legal change as much needed because in many cases cases, parents of premature infants that need specialist care often face emotional, physical and financial challenges, but are still facing pressure to return to work because of the concern they may have of taking longer time off. Today we are going to break down the key elements of the Act so that people can be better informed about these changes and their rights, so they can communicate effectively with their employer, relieving some of the pressure they might have at such a difficult time. Janey, can we start by looking at the key provisions of this new Act? 


Janey Rankin

01:36
Yeah, sure. So to give a bit of background, the new Neonatal Care Leave and Pay Act was introduced with the aim of giving parents more time to care for their newborns that are in neonatal care, and that often happens when a baby is premature or has health implications after birth. Under the new law, parents are entitled to up to 12 weeks leave and or pay, subject to eligibility requirements, when their baby is admitted to neonatal care, starting from the date of the baby's admission. This new leave and pay is in addition to the current family pay, so maternity leave and paternity leave, for example. 


Rachel Makore

02:19
Okay, great. So that's a huge development for families and, importantly, the leave isn't just for mothers, is that right? This also includes fathers, partners and other qualifying family members. Yeah, the. 


Janey Rankin

02:31
Act is gender neutral, which is key because it recognises the importance of both parents being able to be there during this incredibly challenging time. So, whether you're a mother or a father, or even a partner or a doctor, you can claim the leave if you meet the necessary eligibility requirements, or even a partner or a doctor, you can claim the leave if you meet the necessary eligibility requirements. 


Rachel Makore

02:49
Can you expand on what the eligibility criteria is for? 


Janey Rankin

02:53
us, of course. So the right is for up to 12 weeks leave where a child is admitted to hospital for neonatal care. This is a day one right for both mothers and fathers. The baby must have been in neonatal care for up to 28 days after they have been born and the care must last for at least seven consecutive days. The right to take neonatal leave is a day one right, but the child must be born on or after the 6th of April 2025. That's when the legislation comes into force. The right applies also to adoption of babies requiring neonatal care, the discontinuous period adding up to seven continuous days or more. The rules won't apply to where there's multiple births. So, for example, if you have twins who are both in neonatal care and say one twin is in neonatal care for three days and the other twin is in neonatal care for five days, then those days will be accumulated and so they don't have to necessarily meet the seven consecutive days individually. 


Rachel Makore

03:51
Okay and then? So, looking at pay, which is obviously just as crucial, is it right that eligible parents will get statutory neonatal care pay, which is then obviously designed to help with the financial strain that comes with having a baby in hospital yeah, so I should probably have explained before. 


Janey Rankin

04:10
So the neonatal care leave is obviously separate to the neonatal care pay right, but neonatal care leave is a day one right, and so it's really beneficial for fathers who may not be eligible for paternity leave because they have to have to have 26 weeks continuous service for that leave, which is quite interesting. So for the neonatal care pay element, there are eligibility requirements. That may mean that if you are eligible for the leave, you might not be eligible for the pay as well, might not be eligible for the pay as well, but both parents will be entitled, if eligible, to the pay, which is in addition to the ordinary family leave. The neonatal care pay is paid at the flat parental leave pay, which is currently 184 pounds per week. 

04:56
Mothers are most likely going to have started their mat leave, and so what they can do is they can choose to take the neonatal care leave and pay after their maternity leave has been exhausted okay and and that's quite advantageous because it means that they can take the time to bond with their baby whilst their baby is well, as opposed to having to spend that time with the baby in neonatal care yes, yeah the act will have a bigger impact, I think, for fathers who may have exhausted their statutory paternity leave, may not have started their leave yet or, as I explained, may not be eligible for the leave. 

05:39
Okay, regardless of whether you are a mother or father, each will be eligible for neonatal pay if they've got 26 weeks continuous service with the employer, ending with the relevant week. You must be taking leave to care for the child. You must still be in employment by the relevant week, so the relevant week is when the baby is born. You must have normal weekly earnings which are above the lower earning limit, which is currently 123 pounds per week, for at least eight weeks prior to the relevant week, and you must give requisite notice and evidence of their entitlement to the leave and pay to the employer. There are notice provisions in the proposed legislation, but it's likely that the employer and the employee will agree separate notifications depending on the circumstances. 


Rachel Makore

06:23
Okay, thank you. Yeah, it's really helpful breakdown to know what kind of pay individuals can expect to receive. It's a reminder to all new parents that if their child needs extra time in hospital following their birth, no matter the cause, they can use the act to access this additional leave and pay. So it should hopefully give parents some time to come to terms with events and have some space to do so, don't you think? 


Janey Rankin

06:47
Yeah, and the law also addresses employment protections during this time. So employers are now required to grant the leave and ensure that parents don't face detriment for asking for the leave or for asserting their right to take the leave. So an employer cannot treat an employee less favourably for doing so and they also can't dismiss an employee for doing so. They would be opening themselves to claims for discrimination and also automatic unfair dismissal if they dismiss the employee. 


Rachel Makore

07:15
It should hopefully give parents some time to come to term with events and have some space to do so. 


Janey Rankin

07:20
Yeah, and the law also addresses employment protections during this time too. Employees are now required to grant the leave and ensure that parents don't face detriment or dismissal for taking this statutory leave, and they also need to make sure that the pay is in line with statutory rates and handle the leave with fairness, just like other family leave with fairness, just like other family leave. 


Rachel Makore

07:43
So that's obviously great for individuals, but what does that then mean in practice for employers. 


Janey Rankin

07:48
Well, employers have to be proactive. They need to understand the law. So if they're prepared, they need to be prepared for an employee asking for the leave and pay, and it's important that they don't treat parents negatively or unfairly for asking for the pay. This could potentially open up claims for discrimination if they did penalise employees for doing so, and also potentially automatic unfair dismissal if they dismissed the employee for doing so. 


Rachel Makore

08:12
Okay, yeah, I mean it's definitely a positive shift in the law and does add another layer of support and protection for individuals. 


Janey Rankin

08:21
Yeah, I think so. It's a step in the right direction. However, you've got to remember that the pay element is not a day one right, and it is at the flat rate of statutory maternity pay £184 a week. But you are right and it is a step in the right direction. I'd be interested to hear your thoughts on this. Do you think the new Act is going to make a difference for people in this situation? 


Rachel Makore

08:45
Yeah, I think so. The leave and pay will definitely help parents take the time they need to care for and bond with their child. So, as you say, it's definitely a step forward. The clients I've worked with in the past who have concerns over the care that they or their children have received rarely raise those concerns immediately after the event because of the pressure of the situation. Sadly, clinical negligence claims can take many years to investigate and bring to a resolution and, of course, at the time the priority is the child and being able to get them well enough to take them home. Is the child and being able to get them well enough to take them home. It's also important to note that we do still need to make sure that healthcare systems continue to improve to reduce the risk of negligence and harm in maternity and neonatal care. 


Janey Rankin

09:32
Absolutely yeah, and I think this law also sheds light on the importance of employers offering compassionate and supportive policies for their employees, especially employees who are dealing with familial crisis, whether that's going through leave or flexible work arrangements, and you never know. This new law might encourage employers to offer enhanced support and recognise that employees who are unfortunately facing circumstances like these where they need additional support and maybe financial care too, definitely. 


Rachel Makore

10:04
Okay, so can you remind us when is the act coming into force? 


Janey Rankin

10:07
Yeah, it's coming into force on the 6th of April 2025, and remember that, although it is a day one right, it only applies to babies born on or after that date. 


Rachel Makore

10:17
Yeah, great news after that date. Yeah, great news. Janey, whilst I've got you here, can I ask if you can flag any other legislation that would be useful for employed parents who are returning to work after having a baby to be aware of? 


Janey Rankin

10:33
Yes, so there was a new law introduced recently which gives greater protection from redundancy situations to pregnant women or women returning from maternity leave, adoption people taking adoption leave or shared parental leave, and the new law gives a priority status for those individuals when it comes to alternative roles in a redundancy situation. 

10:59
When it comes to alternative roles in a redundancy situation, the protection will be enforced from when the employee notifies their employer of the pregnancy, and then 18 months from the birth date. Okay, yeah, and then also the Employment Rights Bill introduces a separate proposal to prevent a dismissal of a woman who is pregnant or on maternity leave, unless only in exceptional circumstances. So that's also a really positive shift. 


Rachel Makore

11:22
Yeah, definitely that does sound really good. And did I hear about something that's available for parents who are caring for a child with a long-term care need? 


Janey Rankin

11:32
Yeah, so last year there was a new statutory carer's leave that was introduced, and this leave offers up to five days of flexible unpaid leave per year for employees that are caring for dependents and the dependents with long-term care needs. This entitlement is also a day one right. Currently, there's no dedicated statutory entitlement in place for informal carers, but the law permits a reasonable amount of time off work to care for a dependent in emergencies, which force carers to find alternative ways to take time off work, such as using annual leave, and these new changes should bring a positive change to many parents and carers in the UK, allowing them to balance work and home life more effectively. There's also going to be changes to parental leave, so currently, employees are entitled to 18 weeks leave for each child and adopted child up to their 18th birthday. There are rules on how employees are able to take the parental leave and there are limits on the amount of parental leave that they can take in one year. 

12:29
It's currently four weeks. I won't go into all of that now, but the government are looking to introduce making this a day one right. Okay, and then there are also upcoming changes to paternity leave too, so currently, fathers must be employed for 26 weeks to be entitled to statutory paternity leave. But the Employment Rights Bill proposes to make this a day one right, and I think this ties in quite nicely with the neonatal care leave, which is also a day one right. And it is nice to see that the laws are changing to give not only mothers greater protection, but fathers too. 


Rachel Makore

13:01

Thanks, Janey. That's really helpful information and I'm sure will be important for a lot of parents to be aware of. Ok, so that brings us to an end today. Thank you for joining us everyone, and it's been a real pleasure chatting with you today about this. 


Janey Rankin

13:16
Janey. Thank you, Rachel. 


Rachel Makore

13:32

Yeah, it's been really interesting to clearly hearing it from the perspective of a clinical negligence lawyer. So, thank you. Or anyone you know has experienced poor care at the time of the birth of a child, or if you have concerns around neonatal care provided, then our contact details for both Janey and I can be found in the description box of this podcast or you can have a look on our website, boyesturner.com. Thank you.