Statutory Pay Increases for April 2026
Further to our update last week on the changes to Statutory Sick Pay, the Government has also confirmed increases to the standard rates of statutory family-related pay, due to take effect from 6 April 2026.
These changes will affect all employers and should now be factored into your budgeting for the 2026/27 financial year. Below, we outline the other statutory pay increases and what they mean in practice for employers.
What Are the Proposed New Rates?
The Government has confirmed proposed increases to the standard weekly rate for family-related statutory payments, alongside an increase to Statutory Sick Pay.
| Payment Type | 2025/26 Rate | 2026/27 Proposed Rate |
| Statutory Maternity Pay (SMP) | £187.18 per week | £194.32 per week |
| Statutory Paternity Pay (SPP) | £187.18 per week | £194.32 per week |
| Statutory Shared Parental Pay (ShPP) | £187.18 per week | £194.32 per week |
| Statutory Adoption Pay (SAP) | £187.18 per week | £194.32 per week |
| Statutory Parental Bereavement Pay (SPBP) | £187.18 per week | £194.32 per week |
| Statutory Neonatal Care Leave Pay (SNCP) | £187.18 per week | £194.32 per week |
| Statutory Sick Pay (SSP) | £118.75 per week | £123.25 per week
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In addition, the Lower Earnings Limit (LEL) — the minimum weekly earnings required to qualify for family-related statutory pay — is set to increase from £125.00 to £129.00 per week.
What Do These Changes Mean for You?
Although the increases may appear modest on a weekly basis, they will have a cumulative impact across your workforce.
- Payroll System Updates
Payroll software must be updated to reflect the new statutory rates from 6 April 2026. Employers should liaise with payroll providers early to ensure readiness and avoid underpayments or compliance issues.
- Policy and Documentation Reviews
Family leave policies, staff handbooks and any internal guidance documents referencing statutory rates will need updating. Where organisations enhance statutory payments, you may also need to consider any increased to these that you want to implement.
- Budget Planning for 2026/27
Employers should incorporate the higher statutory rates into forecasting. While some statutory family pay can be reclaimed from HMRC (subject to eligibility), cash flow considerations remain important, particularly for SMEs.
- Communication with Employees
Clear communication is key. Employees planning maternity, paternity, adoption or shared parental leave in 2026 will want clarity on what they will receive. Providing early guidance can help manage expectations and reduce queries.
While these changes represent routine annual increases in line with inflationary pressures, they remain an important compliance consideration for employers.
Early preparation, including payroll updates, budgeting adjustments, and policy reviews, will ensure organisations remain compliant and avoid unnecessary administrative complications in April 2026.
If you would like support reviewing your statutory pay processes or updating your employment documentation ahead of the new rates coming into force, seeking guidance now can help ensure you are fully prepared for the new financial year.