As part of the government’s pledge to deliver on its promise to Make Work Pay, several changes to statutory payment rates will take effect from April 2025, including an increase in the minimum wage and the introduction of Neonatal Care Leave as a day-one right.
What are the statutory pay changes coming into effect from 6 April 2025?
Statutory Sick Pay (SSP) – The rate of SSP will increase to £118.75 per week (up from £116.75).
Statutory maternity, paternity, adoption and shared parental pay – These rates will rise from £184.03 to £187.18 per week.
Statutory Parental Bereavement Pay – Available to individuals who need to take time off work following the death of a child or a stillbirth, this will also rise to £187.18 per week.
Lower earnings limit – The weekly earnings threshold for qualifying for these payments (excluding maternity allowance) will increase from £123 to £125. The threshold for maternity allowance remains unchanged at £30 per week.
What are the changes to the minimum wage from 1 April 2025?
National Living Wage (age 21 and over) – £11.44 to £12.21
National Minimum Wage (18 to 20) – £8.60 to £10.00
National Minimum Wage (under 18) – £6.40 to £7.55
Apprentice rate – £6.40 to £7.55
What are the changes to Neonatal Care Leave from 6 April 2025?
From April 2025, Neonatal Care Leave will become a day-one right. It will apply to parents of babies admitted to neonatal care who require seven or more consecutive days of treatment within the first 28 days after birth.
Statutory neonatal care pay will also be available to eligible employees. To qualify, an employee must have been continuously employed for at least 26 weeks and have average weekly earnings (over a defined eight-week period) at or above the lower earnings limit. Payment will be made at the same rate as statutory paternity pay or shared parental pay.
If you would like tailored advice on these changes or support to ensure your business remains compliant, please contact our Employment Law experts at: employment@bannerjones.co.uk
