Abstract Aim Hospital light may affect neonatal neurosensory development and the well‐being of parents and caregivers. We aimed to issue practical recommendations regarding the optimal light environment for neonatal units. Methods A systematic evaluation was performed using PubMed to identify relevant papers published in English or French up to July 2018, and the different grades of evidence were evaluated. Results We identified 89 studies and one meta‐analysis and examined 31 eligible studies. The major results were that natural or artificial light should not exceed 1000 lux and that all changes in light level should be gradual. Light protection should be used for infants of <32 weeks of postmenstrual age and but must be individualised to each infant. Infants should not be exposed to continuous high light levels regardless of their term and postnatal age. Cycled light before discharge seemed to be safe and beneficial. For medical caregivers’ well‐being, higher light levels and access to natural light are recommended. Special attention should be given to protecting neonatal patients from high light levels that may be necessary when performing specific care procedures. Conclusion Consideration of general principles and practical applications can improve the neonatal light environment for newborn infants, parents and caregivers.