Statutory Maternity and Paternity Pay Debate
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Jacob Collier (Burton and Uttoxeter) (Lab)
I beg to move,
That this House has considered e-petition 715292 relating to statutory maternity and paternity pay.
It is a pleasure to serve under your chairship, Mrs Hobhouse, and a privilege to open this very busy debate on behalf of the Petitions Committee. Calling for statutory maternity and paternity pay to match the national living wage, the petition before us has attracted a great deal of public support from families who want Parliament to look again at how we help parents in the first months of their child’s life. I thank the creator of the petition, Grace Carter, and the thousands who signed it for prompting this important discussion.
The petition highlights a simple contrast that many parents experience. The national living wage is meant to ensure a basic standard of living for workers but, during maternity or paternity leave, state support falls well below that level. At present, statutory maternity pay after the first six weeks equates to just £4.99 an hour, compared with the national living wage of £12.21—55% lower than the income that the law defines as the minimum required to live on. It is hard to justify there being a minimum income for work but not for caring for newborns, and families really feel that gap in their pocket.
In response to the petition, the Government have stated that statutory payments are designed to provide “a measure of…security” rather than a full wage.
A shocking 37% of children and young people in Greater Manchester live in poverty, yet maternity pay remains far below basic living standards, as my hon. Friend just said. Does he agree that raising statutory maternity pay to a liveable wage would help to tackle the crisis of child poverty in the UK and give children a better start in life?
Jacob Collier
I agree, and those are some of the themes that I will come on to. We know, from parents such as Grace and from the stories that we will hear throughout today’s debate, that the current system leaves huge gaps and does not support families or children in the way it should.
Douglas McAllister (West Dunbartonshire) (Lab)
My constituents Stacy, Caitlin, Julia and Alison maintain that the current rates of maternity and paternity pay are woefully inadequate. One advised me that they delayed having children until they were financially secure, and it is unlikely that they will consider having a second child. Does my hon. Friend therefore agree that, while introducing parental leave as a day one right is a welcome first step, the review of parental leave should include a significant rise in the rates of statutory pay to at least the level of the national living wage, and six weeks for dads on 100% pay? Current pay is far below basic living standards, and families in my constituency cannot afford leave.
Jacob Collier
My hon. Friend is a great champion for his constituents. Many of the issues that he notes will come out in the debate today. He is right to say that the Government have begun the first ever full review of parental leave and pay, which is a serious and welcome step.
Rachel Taylor (North Warwickshire and Bedworth) (Lab)
I thank my hon. Friend for leading this debate. Many of my constituents, including Helen, Lauren, Laura and Kayleigh, have written to me, and Helen asked me to raise this point in particular. When she went on maternity leave, she needed support from her partner. One in four women has a caesarean birth, and the physical recovery can often take six weeks, yet their partner must return to work after only two weeks’ paternity pay. That is why we need the wide-ranging review. It is heartbreaking for mothers and fathers, who are left in a difficult position, with mothers sometimes unable even to lift and carry their young child.
Jacob Collier
I know that that is the experience of many parents, and I am sure that the Government will look at it as part of the review that they are undertaking.
Under the current arrangements, a mother or primary adopter can receive maternity pay for up to 39 weeks. For the first six weeks, that pay is 90% of average weekly earnings. For the following 33 weeks, it falls to a flat statutory rate, or 90% of earnings—whichever is lower. Statutory paternity pay lasts for two weeks at the same flat rate.
The current support for multiple birth families is inadequate. Samantha from Wincanton is a mother of twins, and after giving birth she received the same statutory maternity pay as a parent of one child, despite having to pay double for the cost of essential childcare equipment and so on. Does the hon. Member agree that there should be financial equality for parents of twins and that the Government’s forthcoming parental leave review must address that disparity?
Jacob Collier
The hon. Lady has highlighted an area that needs to be addressed.
One of the starkest, most glaring inequalities in the system is that dads who are self-employed or freelance are not eligible for anything. That is something that the Government should look at.
Liam Conlon (Beckenham and Penge) (Lab)
Another glaring missing piece is that, as well as supporting mothers and fathers, it is important that we support those who suffer the tragic loss of a baby. Will my hon. Friend therefore join me in welcoming our Government’s commitment to introduce a right for workers, including those who experience pregnancy loss before 24 weeks, to take time away from work to grieve?
Jacob Collier
Yes, absolutely. My hon. Friend is a real champion of his constituents, and I too welcome the Government’s commitment.
Shared parental leave was designed to bring flexibility, but in practice very few families can afford to take it at the current levels. The House of Commons Library notes that only 5% of eligible fathers take it up, with most saying that they cannot afford it. The United Kingdom offers one of the longest periods of maternity leave in the developed world, yet one of the lowest payment rates. The outcome is predictable: mothers often return to work earlier than they would like, fathers and partners take little to no time off and the unequal division of care that begins at birth shapes the patterns of earnings and progression for the years afterwards.
Recent research by the University of Bath and its partners, Working Families and the Fatherhood Institute, tested the impact of a more generous and flexible leave offer for fathers and modelled what would happen if paternity leave were extended from two to six weeks, to be taken flexibly within the first year and paid at a meaningful rate. The findings were striking. Better pay produced much higher take-up by fathers, improved wellbeing for both parents, maintained a closer connection of women to the workforce and lowered staff turnover for employers. When only jobs and earnings were considered, the policy still brought a net gain to the economy; when wellbeing and family outcomes were added, those benefits rose sharply. In every scenario, families and employers were better off when parental leave was properly paid.
Those are not just numbers. They mean families spending real time together, children getting a better start and businesses keeping valued staff. The evidence is clear: when leave is paid at a level parents can afford, everyone benefits.
Andrew Cooper (Mid Cheshire) (Lab)
I have been contacted by a number of constituents concerned about the requirement to have worked continuously with the same employer to qualify for statutory maternity pay. Women who change jobs shortly before pregnancy are excluded from statutory maternity pay. They miss out on the six weeks at 90% of average weekly earnings and instead receive a lower maternity allowance. That creates a financial strain, forcing people to return to work early and harming the wellbeing of mothers and children. Does my hon. Friend agree that that issue must be addressed and that we need to provide fair support for all working mothers?
Jacob Collier
I agree. The day one rights that the Government will introduce will be helpful in the context that my hon. Friend sets out. Ministers have rightly said that they want to remove the barriers that discourage people from having the children that they would like to, and parental leave and pay are at the centre of that effort. If families feel that taking leave means that they cannot get by, they will delay decisions. We know that the support needs to be in place so that they can make those choices freely. Changing the system is therefore about supporting families and maternal health and sustaining a strong economy that is built on fairness and security.
This is a valuable and important debate. Does the hon. Gentleman agree that as well as having new policies, we have to know that they are being implemented properly and fairly, and that therefore it will be necessary to require large employers to publish their policies and data in the same way that they have for gender pay? [Hon. Members: “Hear, hear.”]
Jacob Collier
The hon. Member can hear from the Chamber that there is support for that position. I am sure the Minister has heard that.
Trade unions have welcomed the Government’s review—I declare an interest here, as a proud Unison and GMB member. The GMB says that it is pleased that the Government are listening, and calls for 12 months’ maternity pay, stronger protection against discrimination and fairer rights for fathers and partners, including six weeks’ paternity leave on equal pay. The union’s model parental leave agreement also advocates paid emergency bereavement leave and carer’s leave, recognising that decent parental pay and leave boosts retention and wellbeing. The Trades Union Congress, representing over 5 million workers, warns that the current system entrenches inequality by excluding many women, the self-employed and those in insecure work.
Darren Paffey (Southampton Itchen) (Lab)
My hon. Friend knows that under the current system far fewer dads take parental leave, which worsens the gender pay gap. In the five years after becoming mothers, many workers lose up to £65,000-worth of earnings. It is clear that better paid, longer and more usable partner leave is beneficial for all families. Does he agree that in their review, the Government should look at examples such as Spain, with its 16 weeks at 100% pay, to see what progress Britain could make?
Jacob Collier
I do agree. I think the Government will look at those international comparisons and where Britain is in the league tables.
The TUC seeks day one rights, individual entitlements to paid leave and higher pay rates so that all families can benefit, including single kinship, adoptive and surrogate parents and those in atypical roles.
Lisa Smart (Hazel Grove) (LD)
Does the hon. Member agree that the Government’s ongoing review into parental leave is a cracking opportunity for them to fill a gap that currently exists for those who are self-employed and seeking to grow their family by adoption? Currently they are not entitled to maternity allowance or maternity or paternity pay. Does he agree that that would be a very good thing to come out of the parental leave review?
Jacob Collier
Yes; the hon. Lady highlights a stark inequality that the Government need to address.
Behind every statistic is a story. The recent campaign by Pregnant Then Screwed gathered testimony from families across the UK who face the brutal consequences of the current, inadequate system. Laura from the west midlands had to return to work just 11 weeks after giving birth because she could not afford the mortgage repayments on her low maternity pay. She said that she had been
“overwhelmed with guilt over the limited bonding time”
that she had had in those early months due to returning to work, and it had greatly impacted her mental health.
Izzy from Chester, recovering from an emergency caesarean section, was left alone in pain, unable to feed herself and her baby. Her wound later ruptured and became infected. She believes that that would not have happened if her husband had been at home longer. Neya from London told us about the aftermath of her traumatic birth and its impact. She slept on the floor for weeks and was unable to function. She said that she could barely think about how she would have coped if her husband had not been around. Another parent, who wanted to remain anonymous, shared a reflection that captures the long-term cost of the current system:
“I’m struggling to see how we can possibly have a second child because of all of this. I’m very happy, grateful and content with one but it feels like the choice is starting to be taken out of our hands.”
Does my hon. Friend agree that kinship carers, people who adopt children and foster carers should be included in any review? We can give those people—the heroes of our communities—as much time off as we want, but they need some financial stability during that period, and the £4.99 that he mentioned before quite simply is not enough.
Jacob Collier
I agree, and I pay tribute to my hon. Friend, who is a long-time campaigner on these issues. I know that that is something that the Government have heard him say and will continue to hear him say.
We know there are huge costs involved. A nursery place for an older child at this time can cost up to £1,200 a month for three days a week, while the average mortgage is between £800 and £1,000 a month. Add in household bills, food bills and transport costs, and it becomes painfully clear how impossible it is to survive on the statutory maternity pay of £4.99 an hour.
Chris Bloore (Redditch) (Lab)
My hon. Friend has articulately laid out the reasons to reform the current system. Does he agree that the best way to do that would be for the Government to deliver the new deal for working people in full, including reforming parental leave? Families deserve fair pay and a real choice to care for their children, without financial strain.
Jacob Collier
I do agree, and I pay tribute to my hon. Friend for his work in this area. Every change must be responsible with public money and it must be manageable for employers. The evidence suggests that that can be achieved. Changes can be phased in over time, so that payroll systems and budgets can adjust.
However, it is crucial that the cost of this reform is not simply passed on to employers, who are already facing rising costs. As the petitioner has argued, this change should be about Government investment, recognising the economic and social value of supporting families, just as we do with other forms of social security.
The hon. Gentleman is making a powerful case for boosting maternity and paternity pay. Does he agree that if we are to give meaningful choice to families about whether they would like to spend more time at home in the early months of a child’s life—shown to have real developmental benefits for children—or go back into the workplace, we must address the fact that, as he has set out so clearly, maternity pay, paternity pay and shared parental leave pay is less than half the minimum wage? It is not excessive, as the Leader of the Opposition, the right hon. Member for North West Essex (Mrs Badenoch), has previously stated.
Jacob Collier
I agree. It is quite stark that lots of parties are represented here today, but apart from the shadow Minister, the hon. Member for South West Devon (Rebecca Smith), there is not one Member of the official Opposition here.
Ultimately, this issue is about the country that we choose to be. The first months of a child’s life are not a private indulgence; they are a public good. When parents are able to be present, children flourish, mothers recover, fathers bond and families become the firm foundation of a stronger, healthier society. When that support is absent, we all pay the price—not immediately, but inevitably. This issue is not merely a question of fairness; it is a matter of foresight and basic national good.
James Naish (Rushcliffe) (Lab)
I am not quite sure how to contribute to this debate: I am married to a doctor who is an obstetrician and gynaecologist; I am a triplet; and I have an 18-month-old daughter, who was born just three weeks before the general election was called last year. I am never sure which way to pivot. I want to make the macro argument, which is that our birth rate as a country is between 1.41 and 1.56, depending on what is being looked at. Does my hon. Friend agree that there is a pure and very simple economic argument to making sure that our country is growing its population from the grass roots? If we fail to do that, the cost in the long run will be considerable.
Jacob Collier
Absolutely. I know that my hon. Friend has a lot of experience in his own family to bring to this debate, and I wonder if his daughter is watching it. A parental leave system that works for every family, for employers and freelancers, and for single parents and kinship carers alike is not a cost to be endured but an investment in our shared future. It is in that spirit that I look forward to hearing the rest of the debate tonight.
Several hon. Members rose—
Jacob Collier
I start by wishing a very happy second birthday to William, the son of my hon. Friend the Member for Gloucester (Alex McIntyre). Perhaps he is at a soft play centre in Walthamstow.
I thank hon. Members for sharing their experiences and those of their constituents, which has powerfully showed the need for change in this area. I also thank the Minister for setting out the criteria of the review. I know that he cares passionately about these issues. Despite what the hon. Member for South West Devon (Rebecca Smith) said, there is a real need for change, as we have heard throughout the debate. The Government’s parental review is the very first of its kind, and while it shows that the Minister and the Department are willing to listen, it must lead to real action with clear milestones for reform so that we do not see millions of families falling into poverty.
I welcome the Minister saying that he will draw on the evidence he heard today, as well as submissions from unions, employers and families. No parent should have to face poverty in bringing up their newborn. If we get this right, we can strengthen family life, improve equity and give every child a fairer start.
Question put and agreed to.
Resolved,
That this House has considered e-petition 715292 relating to statutory maternity and paternity pay.