Glossary term

Shared Parental Pay

Shared Parental Pay (ShPP) is the payment eligible parents receive when they share leave after a baby is born or a child is adopted.

benefits

Category

advanced

Difficulty

7 min read

Read time

2025-01-15

Updated

Definition

Short definition

Shared Parental Pay (ShPP) is the payment eligible parents receive when they share leave after a baby is born or a child is adopted.

Detailed explanation

Shared Parental Pay (ShPP) allows eligible parents to share up to 50 weeks of leave and up to 37 weeks of pay between them. It gives families flexibility in how they care for their child in the first year.

The mother or primary adopter must curtail their maternity or adoption leave/pay to create ShPP entitlement. Both parents then submit notices to their employers about how they want to share the remaining leave and pay.

ShPP is paid at the same rate as Statutory Maternity Pay (after the first 6 weeks), and some employers offer enhanced shared parental pay.

Practical guidance

How it works

The mother curtails her maternity leave and pay by giving notice. Both parents submit notices to their employers stating how they intend to share the leave and pay. Employers have 14 days to respond. Leave can be taken in up to 3 blocks.

Best practices

Offer enhanced shared parental pay

Use software to track complex entitlements

Be flexible with discontinuous leave requests

Communicate policies clearly to expecting parents

Legal context

Legal basis

Children and Families Act 2014, Shared Parental Leave Regulations 2014

Jurisdiction: UK

Key provisions

Up to 50 weeks of leave and 37 weeks of pay can be shared

ShPP rate is £184.03/week or 90% of earnings if lower (2024-25)

Both parents must meet eligibility criteria

Mother must curtail maternity leave/pay to create entitlement

Official source

Frequently asked questions

How does Shared Parental Pay work?

ShPP allows parents to share up to 37 weeks of pay between them. The mother must curtail her maternity pay to create ShPP entitlement. It's paid at £184.03/week or 90% of earnings if lower.

Can both parents take Shared Parental Leave at the same time?

Yes, both parents can take ShPL simultaneously. This allows them to be off work together caring for their child.

Do both parents need to be employees to get ShPP?

The parent claiming ShPP must be an employee meeting earnings and service requirements. The other parent must meet employment and earnings tests over a 66-week period.