Bills keep climbing, sleep keeps shrinking, and the calculator on your phone tells a cold story about new family life.
MPs have turned their attention to that story. A Westminster debate, sparked by a public petition, laid bare how statutory maternity and paternity pay trail the costs of caring for a newborn. The question now hanging over thousands of households is whether Parliament will bridge the gap or leave parents counting pennies through the night.
Parents say the sums no longer add up
On Monday 27 October, MPs debated whether statutory pay should match the national living wage. The timing hit a nerve. It fell in school half term, when many parents pay more for childcare and juggle old credit-card balances from the summer. The petition behind the debate gathered thousands of signatures, reflecting a wider frustration with how support works in real life.
MPs described parents checking bank balances in soft play corners and in supermarket car parks. The theme was consistent: the current design punishes caring. For many, money falls off a cliff after the first six weeks of maternity pay.
After week six, statutory maternity pay falls to £187.18 per week. That equates to about £4.99 per hour on a full-time basis.
One MP framed the dilemma in plain terms. The country sets a minimum hourly rate to stack shelves but accepts a far lower rate to care for a newborn. Families notice that difference in their wallets.
The £4.99 an hour reality
What statutory maternity pay buys in 2025
Statutory maternity pay starts at 90% of average weekly earnings for six weeks. It then drops to £187.18 per week for up to 33 weeks, or 90% of earnings if lower. Against a standard 37.5‑hour week, that works out at around £4.99 an hour. The national living wage is £12.21.
| Pay type | Weekly amount | Equivalent hourly | Gap to £12.21 |
|---|---|---|---|
| National living wage (37.5 hours) | £457.88 | £12.21 | 0% |
| Statutory maternity pay after 6 weeks | £187.18 | £4.99 | −55% |
| Typical weekly baby costs cited | £406.00 | n/a | n/a |
£4.99 to care vs £12.21 to work: Parliament heard that families feel the gap every time a bill lands.
Why the gap hurts families
Care is not time off. Parents take on a full-time role with constant night shifts. MPs said caring for a baby can cost around £406 per week once essentials, transport and baby gear are included. Some families told MPs that even with 30 free hours of childcare, fees still top £3,000 per month, depending on age, region and provider. Others have delayed a second child because the sums do not work. For self-employed mothers there is Maternity Allowance. For many self-employed fathers and partners, support remains thin.
Local data sharpened the stakes. In Greater Manchester, 37% of children live in poverty, an MP noted. Money pressures in the first months spill into long-term outcomes. That early period shapes a child’s future health, education and social mobility.
Fathers, fairness and the first 1001 days
MPs linked low pay to old habits at home. When leave is underpaid, the higher earner often keeps working. Mothers become the default parent by necessity. Fathers miss early bonding and routine care. The first 1001 days—from pregnancy to age two—matter for brain development. If pay is too low, families face a grim choice between bonding time and paying the rent.
Paternity leave drew blunt criticism. A week or two at the statutory minimum sends a message about who should care. MPs said better paternity pay supports recovery for mothers, shares the load and helps close the gender pay gap.
Fair pay for both parents in the first months supports bonding, recovery and future earnings for the whole family.
What MPs want next
The debate produced a short list of changes that would alter family budgets quickly.
- Match statutory maternity and paternity pay to the national living wage.
- Offer equal parental leave for both parents with six weeks at 90% pay.
- Extend practical support for the self-employed, including partners.
- Make leave and pay simple to understand and easy to claim from day one.
Ministers have launched a full review of parental leave and pay. The Employment Rights Bill also introduces parental leave as a day‑one right. MPs welcomed the review but warned that families struggling to the next payday need faster movement.
How this could play out in your household
A quick budget lens
Here is a simplified snapshot for a parent on statutory maternity pay after week six. Weekly pay is £187.18. That equates to about £811 a month before tax and National Insurance. Rent or mortgage, energy, transport and food usually exceed that. Add baby costs—nappies, formula if used, laundry, pram finance, classes, travel—and the gap widens.
Now add childcare for an older sibling or the early months after leave ends. One family described paying around £3,000 per month despite 30 free hours. Regional prices vary, but nursery fees often dwarf take‑home pay, especially for children under three. Many parents borrow, use savings or ask relatives for help.
Options families are weighing
- Checking employer policies: many large employers offer enhanced maternity, paternity or shared parental pay above the statutory rate.
- Splitting leave differently: shared parental leave can let parents alternate time off to balance earnings and care.
- Using Tax‑Free Childcare: eligible families can get a 20% top‑up on childcare costs up to set limits.
- Claiming childcare support through Universal Credit where eligible: the childcare element can cover a large share of costs, subject to caps and rules.
- Planning return‑to‑work timing: some parents shift hours or negotiate phased returns to limit early childcare bills.
The wider stakes
The way the UK funds the first year at home signals what the country values. Paying near half the living wage tells parents to absorb the difference themselves. That has knock‑on effects: delayed siblings, higher household debt, pressure on maternal health, and fathers edged out of early care.
MPs argued that better pay now avoids bigger costs later. Stronger early attachment reduces later public spending on health, education and social care. Employers gain too. Families that can afford time off return more settled and less likely to quit, which cuts recruitment costs.
Key facts to keep in mind
- Statutory maternity pay after six weeks: £187.18 per week for up to 33 weeks.
- Equivalent hourly rate on a 37.5‑hour basis: about £4.99.
- National living wage: £12.21 per hour.
- Self‑employed mothers may claim Maternity Allowance; many partners have no equivalent support.
- Current paternity pay: usually one or two weeks at the statutory minimum rate.
The review of parental leave will set the terms of the next decade. The choice before ministers is stark. Keep a system that values newborn care at £4.99 an hour, or raise statutory pay to meet the £12.21 reality families face at the till.
Matching statutory maternity and paternity pay to the living wage is basic fairness. The first 1001 days set trajectories; underpaying care just loads costs onto families and the state later. If we value shelf‑stacking at £12.21, valuing newborn care at £4.99 is indefensible. MPs should bridge the gap.
Not conviced by the headline numbers: who actually funds a jump to £12.21—taxpayers, SME owners, or higher prices passed on to everyone? Where’s the independent costing and impact assessment on small employers and the self‑employed?