Statutory Paternity Pay 2026/27: Two Weeks You Earn Less

The arrival of a new baby is one of the most significant financial events in a family's life. Statutory Paternity Pay (SPP) exists to give employed fathers, partners, and adoptive parents a brief period of paid leave — but the rate is set well below most workers' usual salaries. Understanding exactly how much you will receive, how tax reduces that further, and what your employer may top up is essential planning for 2026/27.

What Is Statutory Paternity Pay and Who Qualifies?

Statutory Paternity Pay is a government-set minimum rate that employers must pay eligible employees during paternity leave. Unlike Statutory Maternity Pay, which runs for up to 39 weeks, paternity leave is much shorter: one week or two consecutive weeks. There is no option to take odd days or to break the two weeks into separate periods.

To qualify for SPP in 2026/27, you must meet all of the following conditions:

• Employment status: You must be an employee. The self-employed do not qualify for SPP, though they may be eligible for other support.
• Continuous employment: You must have worked for the same employer for at least 26 weeks by the end of the 15th week before the baby's expected due date (known as the qualifying week).
• Earnings threshold: Your average weekly earnings must be at least £125 — this is the Lower Earnings Limit for National Insurance purposes.
• Relationship to the child: You must be the biological father, the mother's husband or partner, or an adoptive parent. Same-sex partners are fully included.
• Responsibility: You must expect to have responsibility for the child's upbringing.

You must also give your employer at least 28 days' notice before you want your leave to start, and you need to confirm your entitlement in writing using the SC3 form (or your employer's own form).

How Much Is Statutory Paternity Pay in 2026/27?

The SPP rate for 2026/27 is £184.03 per week or 90% of your average weekly earnings — whichever is the lower figure. This mirrors the lower-of-the-two test used for Statutory Maternity Pay from week 7 onwards.

In practice, for anyone earning above roughly £10,600 per year (£204 per week), the flat rate of £184.03 applies. Only workers with average weekly earnings below that threshold will receive the 90% figure instead.

For context on how this fits the broader pay landscape:

• The National Living Wage for workers aged 21 and over is £12.71 per hour from April 2026. A full-time worker on NLW earns roughly £508 per week before tax. SPP at £184.03 replaces only about 36% of that.
• A worker on the UK median salary of around £35,000 earns approximately £673 per week. SPP replaces roughly 27% of their gross weekly pay.

This gap between SPP and actual earnings is the core financial challenge of paternity leave.

How Tax Reduces Your Statutory Paternity Pay Further

SPP is treated as ordinary earnings for tax purposes. Your employer pays it through PAYE and deducts Income Tax and National Insurance contributions in exactly the same way as your regular wages.

This means the £184.03 weekly rate is a gross figure. Your actual take-home will be lower depending on your tax band.

Basic-rate taxpayer (earning up to £50,270)

Income Tax is charged at 20% above the Personal Allowance of £12,570. Employee National Insurance runs at 8% on earnings between £12,570 and £50,270 per year (roughly £242 and £967 per week).

On a standalone basis, £184.03 sits well below the weekly personal allowance threshold (£12,570 divided by 52 = £241.73), so if SPP were your only income that week you might pay no tax. However, PAYE is calculated on a cumulative basis across the year. If you are earning your normal salary for most of the year and only drop to SPP for one or two weeks, the overall cumulative picture means some tax is likely still deducted from those SPP weeks.

A rough practical estimate: a basic-rate taxpayer with a typical salary sees a net SPP of around £148–£155 per week after tax and NI, depending on exact circumstances and timing within the tax year.

Higher-rate taxpayer (earning £50,271–£125,140)

Higher-rate taxpayers pay 40% Income Tax and 2% NI on earnings above £50,270. Even though SPP itself is only £184.03 per week, if you are a higher-rate earner, your cumulative PAYE position may mean the marginal rate applied to those SPP weeks is still 40% — reducing net SPP to around £108–£120 per week in practice.

Use the take-home pay calculator to model your specific salary, tax code, and pension deductions to see what your net SPP period will actually look like.

Two Weeks of Paternity Leave: The Real Financial Impact

The total gross value of two weeks' SPP is £184.03 multiplied by two — £368.06. After basic-rate tax and NI, you might take home approximately £296–£310 for the fortnight.

To understand the pay gap, consider the difference between what you would have earned at full salary and what SPP provides:

• Worker on £30,000 (£577/week gross): loses roughly £393 gross per week on SPP, or about £786 over two weeks
• Worker on £40,000 (£769/week gross): loses roughly £585 gross per week, or about £1,170 over two weeks
• Worker on £55,000 (£1,058/week gross): the gap is even larger and, at higher-rate tax, SPP net pay is substantially less

These are not trivial sums. Planning ahead — whether through savings, shared parental leave redistribution, or negotiating enhanced pay — can make a significant difference.

Shared Parental Leave as an Alternative

If two weeks of SPP is not enough time, Shared Parental Leave (SPL) may offer more flexibility. SPL allows parents to share up to 50 weeks of leave and 37 weeks of Statutory Shared Parental Pay (ShPP) between them, after the mother ends her maternity leave early.

Statutory Shared Parental Pay is paid at the same rate as SPP — £184.03 per week or 90% of average weekly earnings, whichever is lower. The advantage is the additional weeks available, not a higher rate.

To use SPL, both parents must meet qualifying conditions, and the mother must agree to curtail her maternity leave. You must give your employer at least 8 weeks' notice of any SPL block, and the leave can be taken in up to three separate blocks (subject to your employer's agreement on discontinuous leave).

For families where the higher earner is the father or second parent, transferring more leave to them — where employer enhanced pay is better — can be a financially efficient strategy.

What Employers Can Offer: Enhanced Paternity Pay

Enhanced paternity pay is entirely at the employer's discretion. Common arrangements include:

• Full pay for two weeks: The employer pays your normal salary for the paternity leave period. This is most common in larger companies and the public sector.
• Partial top-up: The employer pays SPP plus an additional amount to bring pay to, say, 50% or 75% of normal salary.
• No enhancement: The employer pays statutory minimum only, which is legally all that is required.

There is no legal obligation for employers to offer enhanced paternity pay. However, it is increasingly used as a recruitment and retention tool. Always check:

1. Your employment contract
2. Your employer's parental leave policy (sometimes in a separate document)
3. Whether enhanced pay requires a return-to-work commitment (some employers require you to stay employed for a set period after return or repay the enhancement)

If you are starting a new job, negotiating enhanced paternity pay as part of your offer is entirely reasonable, particularly if you know a baby is expected.

Planning Your Finances Around Paternity Leave

Two weeks may be short, but the income reduction can still disrupt cash flow if you are not prepared. Practical steps:

Build a short-term buffer. Aim to have at least one month of normal take-home pay accessible before the birth. Two to three months is better if the birth coincides with other large expenses.

Check your pension contributions. Some workplace pension schemes continue contributions based on your normal salary during SPP; others base them on actual SPP received. Clarify this with your HR team. A brief gap or reduction in pension contributions over two weeks is unlikely to be material, but it is worth knowing.

Understand your mortgage or rent obligations. Lenders and landlords do not pause obligations during paternity leave. If two weeks of reduced income would cause you to miss a payment, arrange in advance — whether by building a buffer or by contacting your lender early.

Tax credits and Universal Credit. If your household income is low enough to qualify for Working Tax Credit or Universal Credit, SPP counts as earnings for the purposes of those calculations. Reporting the temporary change in income correctly avoids overpayments and underpayments.

Notifying Your Employer and Claiming SPP

The administrative process is straightforward but must be followed correctly:

1. Tell your employer by the end of the 15th week before the expected due date that you intend to take paternity leave.
2. Confirm in writing the expected week of birth, how much leave you want, and when you want it to start.
3. Complete form SC3 (or your employer's equivalent) to self-certify your eligibility.
4. Your employer should confirm your SPP entitlement within 28 days.

You can change your start date by giving at least 28 days' notice of the new date, or as much notice as is reasonably practical in the case of early birth.

SPP can start on the date of birth, the day after the birth, or any agreed later date — but it must finish within 56 days of the birth (or, in the case of adoption, within 56 days of the placement date).

If your employer refuses to pay SPP and you believe you are eligible, you can ask HMRC to decide the matter. HMRC can direct the employer to pay if the refusal is not justified.

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This article is for information only and does not constitute financial or tax advice. Tax rules may change. Consult a qualified adviser for your specific situation.