From April 2026, several important updates to statutory payments, wage rates and employment rights will come into effect. Whether you are employing a nanny or working as one, understanding these changes is essential for staying compliant and planning ahead.
Increases to Statutory Maternity Pay (SMP)
From 6 April 2026, those who qualify for Statutory Maternity Pay will be entitled to:
- 39 weeks of pay
- 90% of gross weekly earnings for the first 6 weeks
- Followed by £194.32 per week (up from £187.18) or 90% of average weekly earnings (whichever is lower) for the remaining 33 weeks
If you employ a nanny who becomes eligible for maternity leave, you must ensure SMP is paid at the updated rate. While many families outsource payroll to specialist providers, ultimate responsibility as the employer remains with you.
Statutory Sick Pay (SSP) Increase
From 6 April 2026, Statutory Sick Pay will increase from £118.75 to £123.25 per week.
New National Living Wage & National Minimum Wage Rates
From 1 April 2026, new hourly rates will apply:
- £12.71 – National Living Wage (age 21 and over)
- £10.85 – Ages 18–20
- £8.00 – Ages 16–17
- £8.00 – Apprentices
- £11.10 per day – Accommodation offset
Impact on the Nanny Sector
Most professional nannies earn above minimum wage levels. However:
- Junior nannies and nursery practitioners must meet minimum thresholds.
- Live-in nanny arrangements must correctly apply the updated accommodation offset.
- Families must ensure gross pay calculations remain compliant.
As an agency we can support families in putting together thoughtful, competitive packages that go beyond statutory minimums and truly reflect a candidate’s experience, qualifications, and the realities of the market.
Increased Statutory Redundancy Cap
From April 2026, the statutory cap on a week’s pay (used to calculate redundancy payments and basic awards) will increase. The weekly pay cap used to calculate statutory redundancy pay will rise from the previous rate (which was £719 as of April 2025), with a new rate expected to be announced.
For household employers, this is particularly relevant if circumstances change — for example, when children start school or a family relocates. Proper redundancy procedures and calculations must be followed to avoid disputes.
Employing a nanny means becoming a legal employer. With rising statutory payments, changing wage thresholds and evolving employment rights, compliance is more important than ever.
We strongly recommend:
- Up-to-date employment contracts
- Professional payroll support
- Clear policies around leave and sickness
- Proper redundancy planning
If you would like guidance on hiring a nanny, reviewing salary packages, or understanding your responsibilities as a household employer, our team would be happy to assist.
