Statutory Paternity Pay: a UK employer guide
Statutory Paternity Pay is worth £194.32 a week or 90% of average weekly earnings, whichever is lower, for the 2026-27 tax year [1]. From 6 April 2026, paternity leave became a day-one right, so an employee can take it from the first day of a new job, although the pay itself still requires 26 weeks of service [2]. The two tests, one for leave and one for pay, are the part employers most often get wrong.
The duty sits with the employer. An eligible parent claims paternity leave and pay through their workplace, the employer pays it through payroll, and most of the cost is then recovered from HMRC. Getting the eligibility split right, paying the correct weekly amount, and reclaiming the money owed are the three things every payroll function needs to handle.
This article explains who qualifies for paternity leave and who qualifies for the pay, how much is due and for how long, the notice an employee must give, and how an employer recovers the cost through Real Time Information.
Key takeaways
- Statutory Paternity Pay is £194.32 a week or 90% of average weekly earnings, whichever is lower, for up to 2 weeks.
- Paternity leave is a day-one right from 6 April 2026, but the pay still needs 26 weeks of continuous service.
- The employee must earn at least £129 a week on average and give notice 15 weeks before the baby is due.
- Employers reclaim 92% of the cost, or 109% under Small Employers' Relief.
- A separate Bereaved Partner's Paternity Leave right also began on 6 April 2026, offering up to 52 weeks of leave (unpaid by statute).
What Statutory Paternity Pay is and who pays it
Statutory Paternity Pay (SPP) is a weekly payment an employer makes to an eligible parent taking time off after the birth or adoption of a child [2]. It is the legal minimum: an employer can offer a more generous contractual scheme, but never less. SPP is treated as earnings, so it passes through payroll subject to PAYE income tax and Class 1 National Insurance in the normal way [13].
The defining feature of SPP, as with most family-related statutory pay, is that the employer pays it first and recovers most of it afterwards. That cash-flow mechanic is why the recovery process, covered later in this article, matters as much as the calculation. Modern HMRC-recognised payroll software for SMEs works out the weekly amount and the recoverable portion automatically, removing most of the manual arithmetic.
Take-up of paternity pay remains low. According to the analysis behind the government's parental leave and pay review, only around a third of eligible fathers take statutory paternity leave, with cost the most commonly reported barrier [15]. For employers, that means clear communication of the entitlement is often more decisive than the rules themselves.
Who qualifies: the two separate tests
The most important distinction in paternity rules is that leave and pay are assessed differently. An employee can be entitled to the leave without being entitled to the pay.
The leave test
Paternity leave is a day-one right from 6 April 2026 [8]. No minimum service is required for the leave entitlement itself, a change from the previous 26-week rule [9]. The person taking it must be the child's biological father or adopter, or the spouse, civil partner or partner of the mother or primary adopter, which includes same-sex partners [4].
The pay test
Statutory Paternity Pay still requires 26 weeks of continuous employment ending with the qualifying week (the 15th week before the baby is due), plus average weekly earnings of at least the £129 Lower Earnings Limit [4]. An employee who clears the leave test but not the pay test can take the time off but receives no SPP for it [1].
How much paternity pay is due and for how long
The duration is short and fixed. An eligible parent can take up to 2 weeks of paternity leave, and the pay follows the same window [14]. The table below sets out the headline figures for the 2026-27 tax year.
| Item | 2026-27 figure |
|---|---|
| Weekly SPP rate | £194.32 or 90% of average weekly earnings, whichever is lower |
| Maximum duration | 2 weeks |
| Lower Earnings Limit (pay eligibility) | £129 a week |
| Continuous service needed for pay | 26 weeks |
From 6 April 2024, the 2 weeks can be taken as a single block or as two separate one-week blocks, and the leave can be taken at any point within 52 weeks of the birth rather than only in the first 8 weeks [9]. From 6 April 2026, paternity leave can also be taken after a period of Shared Parental Leave, which was not previously allowed [2]. Accountants handling several employers at once usually track these windows in a multi-client payroll dashboard so no notice deadline is missed across schemes.
Notice and evidence the employee must provide
An employee must tell the employer they intend to claim SPP and leave no later than 15 weeks before the baby is due, normally using form SC3 [7]. They must then confirm the start date of the leave with at least 28 days' notice [5]. A temporary transitional rule reduced the notice period to 28 days for parents newly made eligible by the day-one change, easing the move to the new system [12].
The employer does not need a birth certificate to pay SPP, but should keep a record of the dates claimed and paid [6]. Payroll teams running this in-house need to confirm the qualifying week and the average weekly earnings calculation before the first payment, because both feed the recovery claim.
How employers recover the cost from HMRC
SPP is recovered through the Employer Payment Summary, the same Real Time Information channel used for the other family-related statutory payments. The recovery rate depends on the size of the employer's National Insurance bill in the previous tax year.
| Employer Class 1 NIC in previous tax year | Recovery rate |
|---|---|
| More than £45,000 | 92% |
| £45,000 or less (Small Employers' Relief) | 109% |
Standard employers reclaim 92% of SPP paid, while smaller employers reclaim 109% under Small Employers' Relief [1]. The extra above 100% for small employers is compensation for the employer National Insurance paid on the statutory amount. Payroll software that holds the HMRC Recognised badge files the Employer Payment Summary automatically and applies the correct recovery rate without manual reconfiguration. For software vendors and HR platforms, the same logic is available through an HMRC-recognised payroll API that handles statutory pay calculation and RTI submission inside a host product.
The new Bereaved Partner's Paternity Leave
A separate right began on 6 April 2026 and sits alongside ordinary paternity leave. Where a partner, or the mother of the child, dies within the first year of the child's life or adoption, the surviving parent gains a new statutory right to Bereaved Partner's Paternity Leave from day one of employment [10]. It offers up to 52 weeks of leave depending on the timing of the bereavement, set out in the underlying regulations [11].
This leave is unpaid by statute, so there is no statutory payment to report, although an employer may choose to pay contractually [10]. Businesses running payroll for SMEs should make sure their absence policies reference it, because it is a day-one right that many handbooks have not yet caught up with.
Conclusion
Statutory Paternity Pay is a small payment with a large compliance footprint. The figure itself is fixed at £194.32 a week for two weeks, but the day-one leave right, the separate 26-week pay test, the notice deadlines and the recovery mechanics give employers several places to slip. Treating leave eligibility and pay eligibility as two distinct questions removes most of the risk.
The wider direction is towards stronger day-one family rights, with the government's parental leave review signalling further change to come. Employers who wire the current rules into their payroll process now, including the new bereavement leave right, will absorb the next round of reform with far less disruption.
Frequently asked questions
Can an employee take paternity leave from their first day at a new job?
Yes. From 6 April 2026, paternity leave is a day-one right, so there is no minimum length of service for the leave itself [8]. Statutory Paternity Pay is different, though: it still requires 26 weeks of continuous employment by the qualifying week and average earnings of at least £129 a week [4]. An employee with under 26 weeks of service can therefore take the leave but may receive no pay.
How much is Statutory Paternity Pay and how long does it last?
It is £194.32 a week or 90% of average weekly earnings, whichever is lower, for the 2026-27 tax year [1]. It can be paid for up to 2 weeks, taken as one block or as two separate single weeks within 52 weeks of the birth or placement [9].
What notice does an employee need to give for paternity leave?
The employee must give notice of their intention to claim no later than 15 weeks before the baby is due, usually on form SC3, then confirm the start date with at least 28 days' notice [5]. For births, this is the standard route, although a temporary transitional rule shortened the notice for parents newly eligible because of the day-one change [12].
How much paternity pay can an employer reclaim from HMRC?
A standard employer reclaims 92% of the Statutory Paternity Pay it has paid, through the Employer Payment Summary [1]. An employer whose Class 1 National Insurance was £45,000 or less in the previous tax year qualifies for Small Employers' Relief and reclaims 109% [3]. SPP is recoverable, unlike Statutory Sick Pay, which the employer absorbs in full.
