Statutory Rate Increase 2017

Unfrozen Statutory Rates 2017 

The road ahead | Statutory Rate Increase 2017 applies to family friendly and sick pay. Statutory Maternity,  Statutory Sick Pay, Shared Parental Pay, Adoption Pay and Paternity Pay rates were frozen in April 2015 due to the consumer price index (CPI) falling by 0.1%. Generally these rates are increased annually in April.

 Statutory Rate Increase 2017

The following statutory rates will increase in April 2017 following a rise in the CPI, the new rates are:

  • Statutory Maternity and Adoption Pay = £140.98 per week following the first 6 weeks at 90% of the employee’s average weekly earnings. This also applies to the remaining 33 weeks at the new statutory rate of £140.98 if the employee does not earn this amount. The change will be effective from 2nd April 2017.
  • Statutory Paternity Pay = The employee is entitled to one OR two weeks’ pay at the new rate of £140.98 or 90% of their average earnings if they earn less than the new rate. The change will be effective from 2nd April 2017.
  • Shared Parental Leave = This will be at the new rate of £140.98. Unlike statutory maternity and adoption pay, there is no enhanced rate. This also applies when taken during the first six weeks following the birth of the child. The change will be effective from 2nd April 2017.
  • Statutory Sick Pay =  The new rate from 6 April 2017 will be £89.35.

Reclaiming Statutory Payments

Following the Statutory Rate Increase 2017, employers can reclaim 92% of Statutory Maternity, Paternity, Adoption and Shared Parental Pay. Smaller employers that pay less than £45,000 in Class 1 National Insurance are able to reclaim the full amount.

We are happy to help you if you need further HR advice about the statutory rights of your employees.

Contact us today on 01455 231982 | 07716 918272 or drop us a quick line through our contact form and we’ll contact you back. 


Family Friendly, SAP, ShPP, SMP, SSP

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