MILLION of families could benefit from a better start for their children as the government launches a major review of the parental leave and pay system – the first of its kind in Britain.

As part of the Government’s Plan for Change, this review will look at how to modernise parental leave to support today’s families and help grow the economy.

The review will look at the whole system – from maternity and paternity leave to shared parental leave – to see how it can work better for parents and employers.

Right now, the system is complicated and doesn’t always give families the support they need. One in three dads don’t take paternity leave because they can’t afford to, and take-up of shared parental leave remains very low.

This is a unique moment in family life – the arrival of a child is joyful, but also physically and emotionally demanding. It’s a time when new mothers need rest and recovery, and when both parents need space to bond with their baby and adjust to a new way of life.

That’s why it’s so important that fathers and partners are able to be present – not just to support their partner’s recovery, but to play an active role in caring for their child from day one.

Research shows that better parental leave can help close the gender pay gap and boost the economy by billions of pounds.

The review will gather views from parents, employers and experts across the country and will end with a roadmap for possible reforms.

This delivers on a key pledge in the Plan to Make Work Pay and supports two of the government’s core missions – growing the economy and breaking down barriers to opportunity.

Deputy Prime Minister Angela Rayner said:

“Those early years are the most special time for families, but too many struggle to balance their work and home lives.

“Supporting working parents isn’t just the right thing to do – it’s vital for our economy.

“Through our Plan to Make Work Pay, we’re already improving the parental leave system with new day 1 rights. This ambitious review will leave no stone unturned as we deliver for working families.”

Business Secretary Jonathan Reynolds said:

“The arrival of a child, whether through birth or adoption, is a life-changing moment. We want to make sure parents get the support they need to balance work and family life.

“Campaigners have long called for change, and this Government has listened. This review is our chance to reset the system and build something that works for modern families and businesses.”

Work and Pensions Secretary Liz Kendall said:

“Every parent should have the chance to spend time with their children during those precious early years.

“This review delivers on our Plan for Change to support families and give children the best start in life.

“By listening to parents and employers across the country, we’ll build a system that works for today’s working families.”