Statutory Maternity Pay (SMP)
UK tax glossary · Last reviewed: April 2026
Statutory Maternity Pay (SMP) is paid by employers for up to 39 weeks. Weeks 1–6 are paid at 90% of average weekly earnings (no cap). Weeks 7–39 are paid at the lower of 90% of average weekly earnings or the weekly SMP flat rate (£187.18/week from April 2026).
SMP is taxable and subject to NI in the same way as normal pay. Employers can recover 92% of SMP from HMRC (or 103% for small employers eligible for Small Employers' Relief). SMP average earnings are calculated using the last 8 weeks before the 15th week before the due date.
Salary sacrifice arrangements can reduce average weekly earnings, which in turn reduces SMP if average earnings fall below the flat rate calculation. Check the impact before joining a salary sacrifice scheme if you plan a family.
Common questions
Does SMP count as income for tax credits and Universal Credit?
Yes. SMP is employment income and counts as earnings for Universal Credit and legacy benefit calculations. It is also included in your taxable income for Income Tax purposes.
What if my employer offers enhanced maternity pay above SMP?
Contractual enhanced pay is a matter between you and your employer. The tax and NI treatment is the same as normal employment income. Check whether enhanced pay is pensionable under your scheme rules.
Related resources
TaxHelper provides general information based on published HMRC rates and guidance. It is not regulated financial or tax advice. For decisions involving significant sums, complex circumstances, or if you are unsure, speak to a qualified accountant or HMRC directly.