Maternity Pay Explained: SMP Rates, Tax & What You're Entitled To

Q: How much is Statutory Maternity Pay in 2025-26?

In 2025-26, Statutory Maternity Pay (SMP) pays 90% of your average weekly earnings for the first six weeks of maternity leave, with no upper cap. For the following 33 weeks (weeks 7 to 39), you receive the lower of 90% of your average weekly earnings or £184.03 per week — whichever is less. The final 13 weeks (weeks 40 to 52) are unpaid. SMP is taxable income and subject to National Insurance deductions.

Q: Do I pay tax on maternity pay?

Yes. Statutory Maternity Pay is taxable income and subject to National Insurance contributions, just like regular salary. However, the weekly SMP rate of £184.03 is relatively low — equivalent to approximately £9,570 per year — which means that for the flat-rate period, most recipients will be earning below the Personal Allowance threshold (£12,570) and may pay little or no income tax, particularly if SMP is their only income for those months.

Q: What is enhanced maternity pay and is it taxable?

Enhanced maternity pay is any amount your employer pays above the statutory minimum. It is entirely at the employer's discretion — some companies offer full pay for 3 months, others offer 6 months at 50% salary. All enhanced maternity pay is taxable as employment income, just like SMP. The tax calculation is the same: PAYE deductions apply, and you use your personal allowance across the whole tax year. If your maternity leave spans two tax years, your allowance applies separately in each year.

Understanding Statutory Maternity Pay — who qualifies, how much you get week by week, what tax you'll owe, and how Shared Parental Leave fits into the picture in 2025-26.

What Is Statutory Maternity Pay (SMP)?

SMP is the minimum weekly payment you receive from your employer during maternity leave, funded largely by the government (employers reclaim 92% of SMP from HMRC, and small employers reclaim 103%). It is not a replacement for your full salary — it is a statutory floor, and many women find it significantly lower than their usual take-home pay.

You are entitled to up to 52 weeks of maternity leave in total. However, SMP only covers 39 of those weeks. The remaining 13 weeks are unpaid unless your employer offers enhanced terms.

SMP Rates Week by Week (2025-26)

Weeks 1–6: 90% of Average Weekly Earnings

For the first six weeks, you receive 90% of your average weekly earnings — with no upper cap. This average is calculated using earnings in the eight weeks before the 15th week before your due date (known as the "qualifying week"). Bonuses, commission and overtime paid in those eight weeks are included.

Example: if your salary is £35,000 per year, your average weekly earnings are £35,000 ÷ 52 = £673. Your first six weeks of SMP: 90% × £673 = £605.77 per week.

Weeks 7–39: Flat Rate or 90% (Whichever Is Lower)

From week 7 onwards, you receive the lower of 90% of your average weekly earnings or the statutory flat rate. In 2025-26, the flat rate is £184.03 per week.

If your average weekly earnings are above £204.48 (£184.03 ÷ 0.9), the flat rate is lower and that is what you receive. For our £35,000 example: 90% of £673 = £605.77 — well above £184.03 — so weeks 7–39 pay £184.03 per week.

Weeks 40–52: Unpaid

The final 13 weeks of maternity leave are unpaid unless your employer has an enhanced policy. You retain your employment rights (accruing holiday, maintaining pension contributions by your employer) but receive no SMP.

Eligibility: Who Qualifies for SMP?

To qualify for SMP from your employer, you must meet all of the following conditions:

You are an employee (not self-employed or a worker on a zero-hours contract)
You have been continuously employed by the same employer for at least 26 weeks by the qualifying week (the 15th week before your expected due date)
Your average earnings are at least the Lower Earnings Limit: £123 per week in 2025-26
You give your employer at least 28 days' notice of when you want SMP to start

If you do not qualify for SMP (for example, you have not been employed long enough), you may instead be eligible for Maternity Allowance — a government benefit paid by the DWP at the same £184.03/week rate for up to 39 weeks.

Worked Example: £35,000 Salary

Period	Weeks	Weekly Pay	Total (Gross)
First 6 weeks (90% AWE)	6	£605.77	£3,634.62
Weeks 7–39 (flat rate)	33	£184.03	£6,072.99
Weeks 40–52	13	£0	£0
Total SMP (39 weeks)	39	—	£9,707.61

Tax on Maternity Pay

SMP is taxable — it is treated as employment income for income tax and National Insurance purposes, just like salary. PAYE deductions continue through your maternity leave via your employer's payroll. However, the tax impact is often modest during the flat-rate period.

The statutory flat rate of £184.03/week equates to approximately £9,570 per year. If this is your only income for, say, six months of a tax year, your total income for that period falls well below the £12,570 Personal Allowance threshold. In that scenario you would pay zero income tax on the flat-rate weeks.

The first six weeks are different — if your salary is high and your 90% AWE significantly exceeds the flat rate, those early weeks can generate meaningful tax. For a £60,000 earner (AWE = £1,154/week), the first-six-week SMP is £1,038/week. PAYE will deduct at 20% or 40% depending on how much taxable income you have already received in that tax year.

Enhanced Maternity Pay

Enhanced maternity pay is any company-specific improvement on the statutory minimum. Common structures include:

Full pay for 3 months, then SMP rate for 3 months, then unpaid
50% salary for the first 26 weeks, then SMP
A top-up bringing SMP to a percentage of salary (e.g. 75%) for a set number of weeks

All enhanced maternity pay is taxable as employment income. There is no special exemption. If your employer pays you £3,000/month in enhanced maternity pay, PAYE deductions apply at your marginal rate just as if you were working normally.

Some employers attach a "return to work" condition to enhanced pay — requiring you to return for a specified period (typically 3–6 months) or repay the excess over the statutory amount. This is legal and common; check your contract carefully.

Pension During Maternity Leave

Your pension rights continue during all 52 weeks of maternity leave. During the paid 39 weeks, your employer must continue making pension contributions based on your normal salary (not the reduced SMP amount) — as long as you continue making your employee contributions (which are based on your actual SMP received). During the unpaid 13 weeks, employer contributions typically pause unless your contract states otherwise.

Shared Parental Leave: Splitting the Leave

Once you have taken at least two weeks of maternity leave, you and your partner can convert the remaining leave into Shared Parental Leave (SPL) and Statutory Shared Parental Pay (ShPP). The pay rate for ShPP mirrors SMP — the lower of 90% AWE or £184.03/week. This allows partners to share leave more flexibly, including taking it simultaneously or in separate blocks. See our shared parental leave guide for full details on how SPL works.

Frequently Asked Questions

How much is Statutory Maternity Pay in 2025-26?

SMP pays 90% of your average weekly earnings for the first six weeks (no cap). For weeks 7–39, you receive the lower of 90% AWE or £184.03 per week. Weeks 40–52 are unpaid. All SMP is taxable.

Do I pay tax on maternity pay?

Yes — SMP is taxable employment income subject to income tax and NI via PAYE. During the flat-rate period (weeks 7–39), the low weekly amount means many women pay little or no income tax if SMP is their main income for those months.

What is enhanced maternity pay and is it taxable?

Enhanced maternity pay is any amount above the statutory minimum that your employer chooses to offer. It is fully taxable as employment income — no special exemption applies. Return-to-work conditions may require repayment of enhanced pay if you leave within a specified period after returning.