Household Bills
Budget 2013: Govt confirms new tax-free childcare scheme
Written By:
Joanna Faith
Posted:
Updated:
20/03/2013
The Government has confirmed support for working families by announcing 20% off the first £6,000 of childcare costs for each child.
The plans, set out yesterday, were confirmed by Chancellor George Osborne during today’s Budget statement.
From autumn 2015, parents will be permitted to claim back up to £1,200 per child – or 20% of the £6,000 it is estimated it costs per year on average for a childcare place.
The scheme will be available to parents who both work but earn less than £150,000 a year each. Couples who both earn £149,999 each will be eligible.
The new childcare scheme will initially cover children up to five years old but will later include all children under 12.
