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Cost of Living: Parental Leave and Pay
19 June 2023
Lead MP
Catherine McKinnell
Newcastle upon Tyne North
Lab
Responding Minister
Mims Davies
Tags
EconomyTaxationWomen & EqualitiesChildren & Families
Word Count: 15207
Other Contributors: 4
At a Glance
Catherine McKinnell raised concerns about cost of living: parental leave and pay in Westminster Hall. A government minister responded.
Key Requests to Government:
Ms McKinnell asks the Government to review statutory maternity pay in line with inflation, equalize access to statutory parental pay for adoptive parents (including self-employed), and improve the take-up of Healthy Start vouchers. She also seeks a commitment from the Minister to address issues related to parental leave and pay.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
Ms Catherine McKinnell is concerned about the impact of high inflation on new parents, particularly mothers. She cited a petition with over 166,498 signatures highlighting that statutory maternity pay has not kept up with cost-of-living increases, leaving many parents struggling to afford basic necessities like food and formula milk. She noted that 93% of new parents believe government support is inadequate and 92% reported difficulty accessing social activities due to financial constraints.
David Linden
SNP
Aberdeen South
Concerned about the cost of living crisis impacting constituents, particularly young families. Calls for improvement in parental leave and pay policies to support parents with premature or sick babies, those who have suffered miscarriages, and workers on insecure contracts. Criticizes the British Government's social security system, especially the two-child limit policy and the young parent penalty in Universal Credit. The hon. Member makes the powerful point that more often than not it falls to the third sector to step in and support people. He agrees that it is not a sign of the big society that these groups, however great the work they are doing is, fulfil that need, but a sign of a broken welfare state that is fundamentally beyond repair. I caution the Government that simply hoping employers will do the right thing is not reliable. There is cross-party agreement on this issue, and HMRC should expedite guidance despite the £50 million committed in the budget.
Jim Shannon
DUP
Strangford
Mr. Shannon highlighted the financial pressures on young families, particularly regarding maternity leave and pay, citing specific instances of mortgage costs rising to £26,000 and £14,000 due to interest rate changes. He mentioned that UK families spend about £6,000 during a baby's first year and called for an increase in statutory parental leave payments to support those on low incomes. Addressed the cost of raising children, noting that the first year can cost around £6,000. Mentioned the impact of high housing and mortgage costs on new parents. Asked about tax relief for parents who lose income while on parental leave. Also raised concerns regarding the impact of high inflation on families' ability to afford childcare costs.
Justin Madders
Lab
Ellesmere Port and Bromborough
Discussed the rising costs of parenthood, highlighting that statutory maternity pay does not adequately cover these expenses. Cited statistics showing a significant increase in baby formula prices and noted concerns over inflation affecting new parents' financial stability.
Munira Wilson
Lib Dem
Twickenham
The hon. Member for Twickenham argues that statutory paternity and maternity pay levels are too low, at less than half of full-time minimum wage, forcing parents back to work despite the cost of living crisis. She also highlights the importance of shared parental leave and suggests increasing paternity leave from two weeks to a period more in line with advanced economies' averages.
Government Response
Mims Davies
Government Response
Discussed the Government's commitment to supporting parents through measures such as increasing statutory parental payments by 10.1%, expanding free childcare, and introducing new rights like neonatal leave and pay. The Minister highlighted ongoing work on flexible working policies and acknowledged challenges in areas like miscarriage leave and tax relief for parents. She also committed to further engagement with stakeholders to address petitioners' concerns.
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Assessment & feedback
Summary accuracy
About Westminster Hall Debates
Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.