Statutory Maternity Pay (SMP) is the minimum legal payment an employer must make to an eligible employee during maternity leave. The 2026-27 rate, effective from 6 April 2026, is £194.32 per week — up from £187.18 in 2025-26 (a £7.14 / 3.8% uplift).
SMP runs for 39 weeks of the 52-week maternity leave entitlement. The first 6 weeks are paid at 90% of the employee’s average weekly earnings (AWE) with no cap. The remaining 33 weeks are paid at the lower of £194.32 or 90% of AWE. The final 13 weeks of leave are unpaid (unless the employer offers occupational maternity pay on top).
This guide walks through the eligibility tests, the employer reclaim mechanism, and the interaction with tax and National Insurance.
For week-by-week pay calculation, see the Maternity Pay Calculator. For broader take-home impact during leave, see Take-Home Pay Calculator.
1. The 2026-27 numbers at a glance
| Item | 2026-27 | 2025-26 |
|---|---|---|
| Statutory weekly rate (weeks 7-39) | £194.32 | £187.18 |
| Lower Earnings Limit (LEL) — qualifying AWE | £129/week | £125/week |
| First 6 weeks | 90% of AWE (no cap) | 90% of AWE (no cap) |
| Total paid weeks | 39 | 39 |
| Total leave weeks (paid + unpaid) | 52 | 52 |
| Qualifying employment weeks | 26 | 26 |
The £194.32 rate took effect 6 April 2026 and applies to any maternity pay period starting in tax year 2026-27. Babies due 5 April 2026 or earlier use the 2025-26 rate of £187.18 throughout the entire SMP period — the rate is fixed at the start of leave.
2. The four eligibility tests
To qualify for SMP, an employee must pass all four:
2.1 Continuous service test
Employed by the same employer for at least 26 weeks continuous service by the end of the Qualifying Week — i.e., the 15th week before the Expected Week of Childbirth (EWC). This is the key date; service ending after the qualifying week but before the leave begins is still eligible.
A new employee who started 1 January 2026 and is due to give birth 5 October 2026: Qualifying Week = 15 weeks before 5 October = week beginning 22 June 2026. From 1 January to 22 June is 25 weeks of service — disqualified by one week. The fix would be a child born 12 October 2026 (which extends the Qualifying Week to 29 June, exactly 26 weeks).
2.2 Average Weekly Earnings test
The employee’s average weekly earnings during the 8-week period ending with the Qualifying Week must be at least the Lower Earnings Limit (LEL) — £129/week in 2026-27. AWE is calculated by dividing the total taxable earnings during the 8 weeks by 8.
Two practical points:
- The LEL test uses earnings as taxed, not contracted salary. An employee whose pay fluctuates (commissions, overtime) needs to confirm the 8-week average is above £129/week.
- For multi-employer SMP, each employment is tested separately. An employee may qualify for SMP from one employer and not from another concurrent employer.
2.3 Notification test
The employee must notify the employer in writing at least 15 weeks before the EWC of the intended start of maternity leave. The notification must include:
- The EWC.
- The intended start date of leave (can be no earlier than 11 weeks before EWC).
- Confirmation of pregnancy (medical certificate MAT B1 — issued by midwife or GP from 20 weeks).
Late notification (after the 15-week deadline) does not disqualify the employee unless it materially affects the employer’s ability to comply with statutory requirements.
2.4 Continuous employment to date of birth
The employee must still be employed at the start of the 11th week before the EWC — which is also the earliest possible start date for maternity leave. Resigning more than 11 weeks before EWC forfeits SMP eligibility.
3. The 6 weeks at 90% AWE — what counts as “earnings”
For the first 6 weeks of SMP, the payment is 90% of AWE with no cap. AWE is calculated identically to the LEL test (8 weeks of pay ending with the Qualifying Week, divided by 8).
A salary of £40,000/year = £769.23/week. AWE × 90% = £692.31/week for the first 6 weeks — a total of £4,153.86 in the first 6 weeks.
After week 6, the rate drops to the lower of:
- 90% of AWE: continuing to £692.31, or
- The statutory rate: £194.32
Since the statutory rate is much lower, an employee earning £40K/year drops from £692/week (weeks 1-6) to £194.32/week (weeks 7-39). The pay cliff at week 7 is the dominant feature of standard SMP.
Many employers offer occupational maternity pay that smooths this cliff — typically paying 100% of normal salary for 26 weeks or some variant. Occupational pay is on top of SMP, not instead of it, so the employer can still reclaim the SMP portion from HMRC.
4. Employer reclaim — how SMP is funded
An employer that pays SMP can reclaim a portion from HMRC:
| Employer size | Class 1 NI bill (prior tax year) | Reclaim % |
|---|---|---|
| Small Employers Relief (SER) | ≤ £45,000 | 103% (= SMP paid + 3% NIC compensation) |
| Other employers | > £45,000 | 92% |
The £45,000 threshold is fixed at the prior tax year’s total Class 1 NI bill. A new employer in their first year automatically qualifies for SER.
Reclaim is done by deducting the SMP amount from the next monthly PAYE remittance to HMRC. Form RR1 is required if monthly PAYE is insufficient to cover the SMP — HMRC then refunds the difference.
Practical effect: SMP is genuinely a cost-pass-through for most employers. For small employers, the 103% reclaim actually leaves them slightly better off than not paying SMP. For larger employers, the 8% cost (100% paid − 92% reclaim) is real but limited.
5. Tax and NI on SMP
SMP is taxable income. It is subject to:
- Income tax via PAYE, applied through the employee’s tax code as if it were normal pay.
- Class 1 National Insurance, employee + employer, at the same rate as normal pay.
- Student loan repayments if applicable.
Two practical consequences:
- A high-earning employee on SMP for 33 weeks at £194.32/week may have their normal tax code adjusted by HMRC mid-year because the cumulative tax basis assumes a higher salary. After SMP ends, the employee may receive a tax refund if too much was withheld earlier in the year.
- SMP counts as pensionable earnings for any auto-enrolment workplace pension during the SMP period. The employer continues to pay employer pension contributions based on normal salary (not the reduced SMP), while the employee contributes based on actual SMP received. The asymmetry is intentional and HMRC-mandated.
6. Returning to work — KIT days and earlier return
Two pathways to flexibility during the 52-week leave:
Keeping in Touch (KIT) days
Up to 10 KIT days can be worked during maternity leave without losing SMP for that day. The employee is paid normal salary for the KIT day, but it does not extend the SMP period beyond the original 39 weeks.
KIT days are typically used for:
- Mandatory training or appraisal meetings.
- Trial of a flexible-working arrangement before formal return.
- One-day attendance at a project critical event.
A 10-day cap is hard. The 11th day worked, even briefly, triggers loss of SMP for that pay week.
Early return
The employee can return any time after the first 2 weeks following birth (or 4 weeks for factory work — Manufacturing Regulations 1979). Notice required: 8 weeks before the intended return date. SMP stops the day before return.
The employee retains the right to the remaining unpaid leave portion — i.e., returning at week 30 forfeits the SMP at weeks 31-39 but keeps the 13 weeks of unpaid leave option through to week 52.
7. Failure of SMP — what alternatives apply
If the employee fails any of the four eligibility tests, the employer issues form SMP1 explaining the reason. The employee can then claim:
- Maternity Allowance (MA): £194.32/week (same rate as SMP) for up to 39 weeks, paid by DWP (not the employer). Eligibility based on self-employed Class 2 NICs or recent employment — covers most who don’t qualify for SMP.
- Lower-rate MA: £27/week for 14 weeks, for spouses or civil partners of self-employed workers who don’t qualify for full MA.
- Statutory Sick Pay before SMP starts: If pregnancy-related illness in the 4 weeks before EWC, the employer must trigger SMP early instead of paying SSP — this is the “early start” rule.
For Maternity Allowance application, see DWP’s MA1 form.
8. Common pitfalls
- Pay cliff at week 7. Employees expecting 90% AWE for the entire 39 weeks discover the £194.32 cap. Plan for a household budget shock from week 7 onward.
- Multi-employer disqualification. Each employer tests AWE separately. A second job that pushes the primary job’s AWE below LEL is irrelevant — only the primary job’s earnings count for primary-employer SMP.
- Holiday accrual continues. Statutory holiday accrues throughout the 52-week leave — 5.6 weeks of holiday is accrued during 52 weeks of absence. Most employers require this to be taken on return.
- SMP and benefits. SMP counts as income for Universal Credit, Tax Credits, and Housing Benefit calculations. The combined household income often shifts during the SMP period — re-test eligibility for each benefit.
- Pension contributions during SMP. Auto-enrolment employers must continue pension contributions based on pre-leave salary, not SMP. The employee’s contribution is based on SMP actually received.