Jessica O'ConnorThe Government has announced a comprehensive review of its parental leave and pay system in an effort to better support working families.
The review will examine all aspects of parental leave, including maternity, paternity, and shared parental leave, with the aim of making the system fairer, easier to access, and more effective.
This initiative marks the first full review of its kind in Britain and is part of the Government’s broader “Plan to Make Work Pay.”
Currently, many parents find the system too complex or financially unviable.
One in three fathers do not take paternity leave because they cannot afford to, and uptake of shared parental leave remains low.
The Government said it hopes that by modernising the system, more parents will be able to spend essential time with their children in the early stages of life, helping to improve family wellbeing and promote gender equality in the workplace.
The review will gather input from parents, employers, and experts across the country and is expected to lead to a roadmap for reform.
According to research cited by ministers, enhanced parental leave policies can help close the gender pay gap and boost the economy by billions of pounds.
Deputy Prime Minister Angela Rayner said: “Those early years are the most special time for families, but too many struggle to balance their work and home lives.
“Supporting working parents isn’t just the right thing to do – it’s vital for our economy.
“Through our Plan to Make Work Pay, we’re already improving the parental leave system with new day 1 rights. This ambitious review will leave no stone unturned as we deliver for working families.”
Business Secretary Jonathan Reynolds added:“The arrival of a child, whether through birth or adoption, is a life-changing moment.
“We want to make sure parents get the support they need to balance work and family life.
“Campaigners have long called for change, and this Government has listened. This review is our chance to reset the system and build something that works for modern families and businesses.”
Work and Pensions Secretary Liz Kendall said: “Every parent should have the chance to spend time with their children during those precious early years.
“This review delivers on our Plan for Change to support families and give children the best start in life.
“By listening to parents and employers across the country, we’ll build a system that works for today’s working families.”
