Children: Day Care

(asked on 23rd January 2018) - View Source

Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, with reference to the report of the Childcare Vouchers Providers Association, The future of childcare support for working parents, published on 20 February 2017, if he will make an assessment of the implications for his policies of the findings of that report.


Answered by
Elizabeth Truss Portrait
Elizabeth Truss
This question was answered on 29th January 2018

The Government is investing a record amount on childcare support – around £6 billion per annum. It is important that that investment is properly targeted. Tax-Free Childcare is fairer and better targeted than childcare vouchers and will benefit over 1 million working households.

However, parents that are currently using childcare vouchers will be able to continue doing so, while they work for the same employer and that employer continues to offer the scheme.

HM Revenue & Customs has published eligibility guidance for Tax-Free Childcare which is regularly updated. The guidance can be found at: https://www.gov.uk/help-with-childcare-costs.

HM Revenue & Customs handle customer data in line with HM Government standards and in compliance with the provisions of the Data Protection Act 1998. Parents can access the childcare calculator on the Childcare Choices website to find out what childcare support they may be entitled to. Tax-Free Childcare is open to all families where parents are in work and expect to earn at least £120 a week, on average, over a three month period (but not more than £100,000 each year). This allows for flexibility if their income varies week to week. Parents on lower incomes may be entitled to tax credits or Universal Credit where they can get help with their eligible childcare costs, in addition to the 15 hours of free childcare available for all 3 and 4 year olds in England. For the number of Tax-Free Childcare accounts for disabled children I refer the honorable member to the answer I gave on 17 January 2017 to the honorable member for Manchester Central (122408). HMRC does not hold information about childcare vouchers used to fund childcare for disabled children.
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