Tax-Free Childcare

Childcare Costs - Assistance Available

If you’re eligible for or already claiming Universal Credit, and you’re in work, you can claim back up to 85% of the amount you spend on childcare (max £646/month for one or £1,108/month for two or more children up to the age of 16). You should contact Universal Credit direct to arrange this.

Whilst you can no longer make a new claim for tax credits, if you’re already claiming the benefit, you can get help with up to 70% of your childcare costs. Contact HMRC direct to arrange this.

IMPORTANT

If you get help with childcare costs through either of the above schemes, you WON’T also be able to use Tax-Free Childcare as well. Opening a Tax-Free Childcare account will mean you stop getting paid the above benefits (all of it, not just the childcare part).

Tax-Free Childcare is for working families (including self-employed) with children aged between 0-11 who earn under £100k and at least £139/week each and are not receiving Tax Credits, Universal Credit or childcare vouchers.
For every £8 you pay into the scheme, the government will add an extra £2, up to £2,000 per child per year.

To find out more visit:
https://www.gov.uk/tax-free-childcare

Employer Childcare Voucher Schemes

If you joined a childcare voucher scheme or a directly contracted childcare scheme on or before 4 October 2018
You can keep getting vouchers or directly contracted childcare as long as:

your wages were adjusted on or before 4 October 2018
you stay with the same employer and they continue to run the scheme
you do not take an unpaid career break of longer than a year

You cannot continue to claim childcare vouchers or directly contracted childcare if you successfully apply for Tax-Free Childcare.

To find out how to pay using vouchers click the link below:
https://kidsspace.org.uk/childcare-voucher-schemes