The government is reminding working parents that they could ease this summer’s childcare costs by using Tax-Free Childcare (TFC). The Tax-Free Childcare scheme is worth up to £2,000 a year for each child and allows parents to save regularly for childcare costs. For each £8 saved the government will make a top-up payment of £2. The money saved from Tax-Free Childcare can be put towards a range of registered childcare options from more than 68,000 childcare providers. These include summer camps across the UK, as well as before and after school care during term time, nurseries and childminders.
The scheme is open to working parents, including the self-employed, who earn between the 16 hours a week at the minimum wage and £100,000 per year and have children under the age of 12 (or under 17 for children with disabilities).
The government will top-up up to £500 per quarter for each child, or £1,000 if the child is disabled.
Commenting on TFC, Liz Truss, Chief Secretary to the Treasury, said:
‘We understand making arrangements for summer childcare at this time of year is important and can be a stressful time for parents.’
‘TFC makes things easier, putting more money in the pockets of parents and supporting as many families as possible to secure high-quality, affordable childcare.
‘Parents should visit the Childcare Choices website and take advantage of the range of offers to help balance their work and family lives while saving money.’
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