Holiday Entitlement During Maternity Leave

For employers, HR teams, and payroll managers in UK SMEs, understanding how holiday interacts with maternity leave is key to staying compliant and supporting staff properly. Here’s a clear, practical guide to what happens with annual leave when an employee goes on maternity leave—covering both legal obligations and best practices.

Does Holiday Continue to Accrue During Maternity Leave?

Yes—employees continue to build up holiday while they are on maternity leave.

This includes:

• The statutory minimum of 5.6 weeks per year, and

• Any additional leave offered under the employment contract, sometimes called ‘enhanced’ or ‘contractual’ leave

This applies even when the employee is in the unpaid portion of their maternity leave, or takes the full 52 weeks available.

Important: Holiday entitlement accrues continuously throughout maternity leave, regardless of whether the employee works full-time or part-time.

Operational tip:

Ensure your HR or payroll systems are configured to track both statutory and additional leave accurately during extended absences.

When Can That Leave Be Used?

Employees can’t take holiday at the same time as maternity leave, but they do have the right to use the leave they've accrued either before or after their maternity leave.

Many employers encourage staff to take some holiday in the run-up to their leave, while others agree to a block of leave after the maternity period ends.

Operational tip:

Encourage early conversations around holiday planning so you can schedule around absences and reduce operational strain.

Planning Leave Ahead of Time

Before going on maternity leave, employees should agree with their employer:

• How much leave they will have accrued by the end of maternity leave

• Whether any of it will be taken before leave begins

• How remaining days will be used or carried forward

• What will happen with any additional contractual holiday not used

These conversations help avoid misunderstandings later and are especially important when dealing with enhanced holiday entitlements.

Best practice: Confirm all arrangements in writing. That might be through a formal leave plan, an email agreement, or a shared HR document.

Some contracts allow employees to take payment instead of using up certain types of leave (particularly enhanced leave). This must be clarified and agreed in advance.

Operational tip:

Build these discussions into your maternity leave planning workflow—ideally in the second trimester—so leave, handovers, and resourcing are all managed smoothly.

Carrying Over Leave

If an employee isn’t able to take their full entitlement before maternity leave, they should be allowed to carry over their untaken statutory holiday into the next leave year.

This includes:

• The statutory 5.6 weeks (pro-rated if part-time), and

• Additional leave offered by the employer, if your company policy allows for it

Note that while statutory leave carry-over is a legal requirement in this context, how much extra leave can be carried forward depends on your internal policies.

What About Bank Holidays?

Whether employees receive time off in lieu for bank holidays during maternity leave depends on how your business treats them.

• If your holiday allowance includes bank holidays as part of the 5.6 weeks, there’s usually no extra leave to give

• If bank holidays are offered in addition to the statutory minimum, the employee is entitled to receive those days too—or be allowed to use them at a later date

Operational tip:

Make sure employment contracts and policy documents clearly state how bank holidays are treated, so both employer and employee know what to expect.

Managing Accrued Leave After Maternity Leave Ends

Returning employees often have weeks of unused holiday. This can be taken all at once or spread out, depending on the business need and employee preference.

To manage this well:

• Update the employee’s holiday balance as soon as they return

• Offer clear options for using leave

• Avoid scenarios where large amounts of holiday expire unused

Operational tip:

Some employers allow new parents to take a block of leave immediately after maternity leave ends—this can help ease the transition back to work while also managing leave balances.

At a Glance: Key Rules for Holiday During Maternity Leave

Why This Matters

Getting holiday right during maternity leave isn’t just a compliance issue—it’s a reflection of how well you support your team through life’s major milestones. When handled well, it builds trust, improves retention, and helps employees feel genuinely valued.

With Givver, you don’t need to dig through contracts or spreadsheets to work out what someone is owed. You can store all your HR policies in one place, including both statutory and enhanced leave entitlements. That means:

• You always know exactly how much holiday needs to be included during maternity leave

• You can see at a glance whether bank holidays, carryover, or payment in lieu apply

• HR and payroll stay aligned—because everything runs from the same tool

By managing your policies, leave tracking, and payroll in one system, you simplify processes and reduce admin headaches—so your team can focus on people, not paperwork.

Frequently Asked Questions

1. Can employees carry over all their leave if they don’t take it during maternity leave?

Yes. If they’re unable to take statutory holiday because of maternity leave, they must be allowed to carry it over into the next leave year. Whether contractual (non-statutory) leave can also be carried over depends on your company’s policy.

2. Can you pay employees for unused holiday instead of letting them take it?

In most cases, you should encourage employees to take their leave. However, if your policy allows it, payment in lieu of contractual (enhanced) holiday may be possible—this should be discussed and agreed upfront. Statutory leave should not be paid out unless employment is ending.

3. What’s the difference between statutory and enhanced leave during maternity?

Statutory leave is the legal minimum (5.6 weeks), which always continues to accrue. Enhanced leave is any additional holiday your company offers on top of that—it also continues to build up unless your contract states otherwise.

Further Reading

For more detailed guidance on holiday and maternity leave, visit ACAS – Holiday and Maternity Leave