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when does statutory maternity pay increase ?

**Understanding the Increase in Statutory Maternity Pay: A Guide for Expectant Parents**

**Introduction**

For expectant parents, understanding your entitlements is crucial. This guide explores the recent increase in Statutory Maternity Pay (SMP), effective from April 2, 2023, and its implications for you and your employer.

**When Did the Increase Happen?**

The SMP increase occurred on April 2, 2023, as part of the UK government’s efforts to address the rising cost of living. This change applies to all eligible employees, including those already on maternity leave.

**How Much is the New Rate?**

The new SMP rate is £172.48 per week, an increase from £156.66. The structure remains:
– **First 6 weeks:** 90% of average weekly earnings.
– **Next 33 weeks:** £172.48 or 90% of average earnings, whichever is lower.

**Who Benefits from the Increase?**

All eligible employees on maternity leave as of April 2, 2023, benefit. Eligibility requires:
– At least 26 weeks of employment with the current employer before the due week.
– Average weekly earnings of at least £123 before tax.

**Why is This Increase Important?**

The increase helps offset the rising cost of living, providing much-needed financial relief. It aligns with adjustments to other statutory payments, such as paternity and adoption pay, which also rose to £172.48 per week.

**What Employers Need to Know**

Employers must apply the new rates from April 2, 2023. They should ensure accurate payments and update their systems accordingly. For those already on leave, payments should be backdated.

**Common Myths vs. Facts**

– **Myth:** Only new applicants benefit.
**Fact:** All eligible employees, including those already on leave, receive the increase.
– **Myth:** The rate didn’t change.
**Fact:** It increased by 10% to £172.48.
– **Myth:** The increase is global.
**Fact:** It applies only in the UK.

**Action Steps for Expectant Parents**

– **Check Payslips:** Ensure the new rate is applied post-April.
– **Review Eligibility:** Confirm you meet the criteria.
– **Contact HR:** If discrepancies are found, seek clarification.

**Where to Find More Help**

– **Government Guidance:** Visit GOV.UK for official details.
– **Free Advice:** Citizens Advice offers clarity on rights.
– **Employers:** Use ACAS guides for compliance.

**Conclusion**

The SMP increase is a positive step in supporting families. Stay informed to ensure you receive the correct amount. For the latest updates, follow government announcements, as rates may adjust annually.

By understanding these changes, you can better prepare financially and focus on what truly matters—welcoming your new arrival.

*Sources: GOV.UK, Citizens Advice, ACAS.*