Budget 2013 – Tax-Free Childcare Support

Details of a new scheme to encourage parents back to work by helping  cover childcare costs had already been announced the day before the Budget. However, it warranted another mention in the Chancellor’s speech in a move which will be welcomed by working families, especially those who have suffered the loss of their Child Benefit.

From autumn 2015, the government will provide up to 20% of the cost of childcare for each child below 5, up to a maximum of £1,200. The exception is disabled children with this financial provision available until the disabled child turn 16. The measure is designed to cover the vast majority of working families and is available to working parents each earning less than £150,000 per annum. We will provide further details once more information is available..