New parent hub
A new baby reshapes household money — statutory pay during leave, Child Benefit, childcare support, and protection cover. This hub draws together what's most useful in the first 12 months and the year after that.
Last reviewed:
The ordered steps
1. Sort statutory leave and pay before the birth
Statutory Maternity Pay is 90% of average weekly earnings for the first 6 weeks, then the lower of 90% or £187.18 a week for up to 33 weeks. Shared Parental Leave lets you split the entitlement with a partner. Notify your employer at least 15 weeks before the due date.
2. Claim Child Benefit early (even if HICBC applies)
Child Benefit is £26.05 a week for the eldest or only child and £17.25 for each additional child in 2026/27. Even if you'll need to pay it back through the High Income Child Benefit Charge, claiming protects your National Insurance record and gives the child an automatic NI number at 16.
3. Apply for Tax-Free Childcare and funded hours when eligible
Tax-Free Childcare gives £2 government top-up for every £8 you pay in, up to £2,000 a year per child (£4,000 for disabled children). The funded-childcare-hours scheme covers eligible working parents from 9 months to school age — see the dedicated guide for the latest entitlement.
4. Review protection cover
Most households underweight family protection. Consider whether existing death-in-service cover from work is enough, whether life insurance written in trust would close the gap, and whether income protection or critical illness cover is worth the cost.
5. Make a will or update an existing one
Once you have a child, intestacy rules can produce outcomes you wouldn't have chosen — particularly for unmarried partners. A simple mirror will usually costs from around £100 per couple from a regulated practitioner.