Statutory Maternity and Paternity Pay

Debate between Andrew Western and Lola McEvoy

Monday 27th October 2025 Westminster Hall

[Andrew Western]

I thank my hon. Friend for her intervention. That is one of many really useful suggestions that have been made today, which I undertake to feed into the review for consideration.

Let me return to what I was saying about the requirement for a fairer system. We should not pretend that there will be easy answers as we go through this work—some difficult balances will need to be struck. The benefits of allowing parents flexibility must be weighed against the direct costs to employers and the public purse.

The petition asks us to increase the rate of statutory maternity and paternity pay to match the national living wage. We should note that maternity pay has never been intended to fully replace a mother’s earnings, and any moves in that direction should not be made lightly. The costs of statutory parental pay are largely paid by the taxpayer, with employers able to reclaim at least 92% of the cost from HMRC.

[Lola McEvoy]

I have raised many times in this Chamber the inequality of paternity rights when it comes to unfair dismissal. Addressing that would not cost the taxpayer or businesses anything, because protection is already in place for those who take shared parental leave, maternity leave and adoption leave. Will the Minister reflect that point in the review as well? He did not mention paternity when he gave us his overview of the review’s purpose, but I think that all Members here agree about the importance that dads feel they can take time off, especially when they are eligible to do so.

[Andrew Western]

My hon. Friend is absolutely right. If I did not refer to that issue, it was because I was trying to respond to an intervention and it was an oversight on my part. It is incredibly important and I will ensure that it is considered as part of the review.

I return to the petition’s specific ask of matching parental pay with the national living wage. The Government currently spend about £3 billion a year on statutory maternity pay and maternity allowance alone. This petition asks us to more than double the rate of maternity and paternity pay—in fact, it seeks a 144% increase. That would be far from a trivial expense at a time of difficult fiscal choices. I am not saying that that will not happen at this point in time—I do not know; we need to go through the process of the review—but we have to take the time to carefully consider such questions, given the significant financial implications, before any decisions are made.

I am cognisant of the time, so I will skip forward by reminding Members that maternity and paternity leave are just one part of the wider picture of financial support for parents. Maternity allowance is available for self-employed women and employed women who do not already qualify for statutory maternity pay. Child benefit is available from the date of a child’s birth, and the Sure Start maternity grant offers a £500 lump sum to mothers receiving one of a range of qualifying benefits.