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Kemi Badenoch has been forced to stress that she does believe in maternity pay after she sparked fury by saying it was “excessive”.
The Tory leadership contender on Sunday said the government was doing “too much” on statutory maternity pay, before quickly backtracking on the remarks.
Describing statutory maternity pay as “a function of tax”, she told Times Radio: “Tax comes from people who are working, we’re taking from one group of people and giving to another. This, in my view, is excessive.”
Arguing that businesses are closing because “the burden of regulation is too high”, she added: “We need to allow businesses, especially small businesses, to make more of their own decisions.
The Trades Union Congress (TUC) said the former business secretary was “out of touch” over the claim.
General secretary Paul Nowak said: “The Conservative Party leadership candidates are hopelessly out of touch and seem to be competing with one another to be the most unkind and nasty.
“Maternity pay in the UK is lower than in many other economies – forcing too many mums back from leave early.”
Ms Badenoch had claimed businesses are closing because “the burden of regulation is too high”, she added: “We need to allow businesses, especially small businesses, to make more of their own decisions.
“The exact amount of maternity pay, in my view, is neither here nor there. We need to make sure that we are creating an environment where people can work and people can have more freedom to make their individual decisions.”
When it was put to her during the Times Radio interview that the amount of maternity pay is important for people who cannot otherwise afford to have a baby, Ms Badenoch said: “We need to have more personal responsibility.
“There was a time when there wasn’t any maternity pay and people were having more babies.”
Ms Badenoch later wrote on X that “contrary to what some have said”, she does support maternity pay.
Joeli Brearley, founder of campaign group Pregnant Then Screwed, said it is “absolute nonsense” to suggest businesses are closing because of statutory maternity pay because they are able to recoup the cost from HMRC.
She said: “Statutory maternity pay is absolutely vital. Most families need two incomes to survive, and so without SMP, women would be forced to return to work almost immediately after giving birth.
“Maternity leave has been proven to substantially decrease infant mortality, whilst improving the mental and physical health of women.
“Conservatives are meant to be the party of family – this statement from Badenoch is yet another example of dog-whistle politics that would actively damage families, businesses and society as a whole.”
It came on the first day of the Conservative Party conference in Birmingham where the race to succeed Rishi Sunak as leader will take centre stage.
First introduced in 1987, statutory maternity pay is available only to women who are employed and earning an average of at least £123 per week.
It provides 90 per cent of a person’s salary for six weeks, and then whichever is lower out of 90 per cent of their salary or £184.03 per week for the next 33 weeks, and the payment is liable for income tax and national insurance.
Fellow leadership candidate Tom Tugendhat said he did not know the context of Ms Badenoch’s remarks but that it is important for women to have the ability to choose.
“I do know that it is incredibly important that women have the ability to choose how to live their lives,” he said.
“It’s not for me to tell you whether you should go to work or stay at home or which job to do or how many kids to have, that’s none of my business,” he told an event with the Conservative Women’s Organisation
“What’s my business as a politician is to make sure that you have the support for choice.”
Robert Jenrick, another contender for the Conservative leadership, said the party should be “firmly on the side of parents and working mums”, when asked about Ms Badenoch’s remarks.
Speaking at a fringe event at conference, Mr Jenrick said: “I don’t agree with Kemi on this one. I am a father of three young daughters. I want to see them get the support that they need when they enter the workplace.
“Our maternity pay is among the lowest in the OECD.
“I think the Conservative Party should be firmly in the side of parents and working mums who are trying to get on.”
He added there are “plenty of other ways that we can help small businesses to prosper other than targeting maternity pay”.