You are here: Home - Household Bills - News -

Government’s childcare scheme opens to all under 12s

0
Written by:
14/02/2018
The government’s Tax-Free Childcare scheme today opens for all parents whose youngest child is under 12.

This is the final phase of the scheme, which has been gradually rolled out since April 2017.

Under the scheme, for every £8 parents pay into their childcare account, the government will add an extra £2, up to £2,000 per child per year. The money can go towards a range of regulated childcare options, including nurseries, childminders, after-school clubs and holiday clubs.

Parents, including the self-employed, can apply online by visiting Childcare Choices. The site has had teething problems with reports of parents not receiving benefits on time but the government said these are being resolved.

Elizabeth Truss, chief secretary to the Treasury, said: “More parents will be able to work if they want to and this demonstrates our commitment to helping families with the cost of living.

“All eligible parents with children under 12 can now apply through Childcare Choices and should take advantage of the available support.”

More than 340,000 families have successfully applied for the service. Of these, more than 190,000 have a Tax-Free Childcare account.

A recent OECD survey found that the UK had the highest childcare costs of any developed country. It looked at the cost to send two children (aged two and three) to a typical childcare centre (or nursery) for at least 40 hours each week.

It assumes both parents are working, where one parent earns an average wage and the second parent earns 67% of average earnings and took into account government help.

The UK was 15% ahead of its nearest rival (New Zealand) with childcare costs taking 55% of average earnings. However, in analysing the survey, the BBC pointed out that parents on lower incomes would be eligible for additional support, which would reduce childcare costs.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

YourMoney.com Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
BLOG: Love and money are uneasy partners

Two surveys this week should give you unromantic pause for thought this Valentine’s Day.

Close