Question to the Department for Education:

To ask the Secretary of State for Education, with reference to paragraph 4.163-4.166 of the Spring Budget 2023, HC 1183, published on 15 March 2023, what assessment her Department has made of the potential impact of support for childcare costs on unpaid carers with dependant children.

In the Spring Budget 2023, my right hon. Friend, the Chancellor of the Exchequer, announced transformative reforms to childcare for parents, children and the economy. By 2027/28, the government will expect to be spending in excess of £8 billion every year on free hours and early education, helping working families with their childcare costs. This represents the single biggest investment in childcare in England ever.

The reforms announced build on the department’s current early education entitlement offers, which include a universal 15 hour offer for all three and four-year-olds, regardless of family circumstances, the existing 30 hours offer for three and four-year-olds, and the 15 hour offer for disadvantaged two-year-olds. This latter offer includes low-income households and parents on certain benefits, as well as looked after children and children with Education, Health and Care (EHC) plans.

In addition to the entitlements, Tax-Free Childcare continues to be available to eligible parents. Tax-Free Childcare is available to parents who meet the same income criteria as the 30 hours offer and can be worth up to £2,000 per year for children aged 0 to 11, or up to £4,000 per year for disabled children aged 0 to 16.

The 30 hours free childcare offer in England aims to support working families of three- and four-year-olds with the cost of childcare and to help parents back into work or work more hours. To be eligible for the 30 hours offer, parents will need to earn the equivalent of 16 hours a week at the National Minimum/Living Wage. This is equivalent to just over £8,670 per year, or £167 a week.

Two-parent households may still be able to meet the criteria for 30 hours free childcare where one parent is working and meeting the above income criteria, and the other is receiving one of certain benefits, which are available at: https://www.gov.uk/30-hours-free-childcare?step-by-step-nav=f517cd57-3c18-4bb9-aa8b-1b907e279bf9. This includes unpaid carers receiving Carer’s Allowance.

All three and four-year-olds are eligible for the 15 hour free entitlement, regardless of their parents’ circumstances. This includes unpaid carers. The offer is available the term after a child turns three and is available for 38 weeks a year during term time, or across more weeks of the year if fewer hours a week are used.