SPM200600 - Change in Circumstances - contractual liabilities when employment has ended
Source: gov.uk (2025-04-06)


SMP/SAP

Employers must continue paying SMP/SAP to women who have left their employment entirely until the earlier of:
- the end of their maximum MPP/APP (see SPM120700 (https://www.gov.uk/hmrc-internal-manuals/statutory-payments-manual/spm120700)and SPM130700 (https://www.gov.uk/hmrc-internal-manuals/statutory-payments-manual/spm130700)), or
- they return to work for an employer, after the baby is born or placed for adoption, who did not employ them in the QW/MW.
It is up to the employee to inform their former employer that they have returned to work.

Other than the requirement to pay SMP/SAP, the scheme does not create any contractual liabilities that did not already exist for employers towards ex-employees.

The employer can offset any contractual adoption pay or other remuneration due for the same period as the SMP/SAP against their SMP/SAP liability, and vice versa.

Regulations 25 and 26 of the Statutory Paternity Pay and Statutory Adoption Pay (General) Regulations 2002.

Regulations 25 and 26 of the Statutory Paternity Pay and Statutory Adoption Pay (General) Regulations (Northern Ireland) 2002.

Section 171ZP(4), (5) and (6) of SSCBA 1992

Section 167ZP (4), (5) and (6) of SSCB(NI)A 1992

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SPP

Employers must continue paying SPP to an employee until the end of their Paternity Pay Period (PPP) even if their contract of employment is ended unless they start work for a new employer.

Other than the requirement to pay SPP, the scheme does not create any contractual liabilities that did not already exist for employers towards ex-employees.

Any entitlement to SPP does not affect the employee’s entitlement to contractual paternity pay or other remuneration.

The employer can offset any contractual paternity pay or other remuneration due for the same period as the SPP against their SPP liability, and the other way around.

Regulation 19 of the Statutory Paternity Pay and Statutory Adoption Pay (General) Regulations 2002.

Adoption from abroad: employment ended before the start of the APP

If an employment has ended, the employer remains liable to pay SAP to the adopter if the APP starts within 6 months of the date it ended. The adopter must still give the employer evidence of entitlement and the appropriate notice of when they want the SAP to start.

Liability for SAP transfers to HMRC six months after employment has ended if the APP has not started. HMRC will remain liable to pay the SAP if, when the child enters the UK, the adopter:
- is not working for another employer, or
- starts employment with a new employer who is not liable for SAP.
The employee will not be entitled to SAP in any week they work for a new employer so they must tell their previous employer or HMRC (if liability has transferred) if they do so.

Section 171ZN of the Social Security Contributions and Benefits Act 1992

Regulations 16 and 17(2) of the Statutory Paternity Pay (Adoption) and Statutory Adoption Pay (Adoption from Overseas) Regulations 2003

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ShPP

An employee is not entitled to Shared Parental Pay if their contract of employment ends and they are not in employed in the week immediately before a period of ShPP starts.

Regulation 30(1)(a) and(c) of the Statutory Shared Parental Pay (General) Regs 2014

SPBP

An employee is not entitled to SPBP if their contract ends before the child's death or stillbirth.

If their contact ended after the child's death or stillbirth, they are entitled to SPBP as long as they do not work for a new employer during the week in which SPBP is being claimed.

Section 171ZZ9 of the Social Security Contributions and Benefits Act 1992

Regulation 10 of the Statutory Parental Bereavement Pay (General) Regulations 2020

SNCP

An employee is not entitled to SNCP if their contract ends before the child enters neonatal care.

If their contact ended after the child enters neonatal care, they are entitled to SNCP as long as they do not work for a new employer during the week in which SNCP is being claimed.

Section 171ZZ19 of the Social Security Contributions and Benefits Act 1992

Regulation 13 of the Statutory Parental Bereavement Pay (General) Regulations 2020