Nursery World - Childcare help given qualified welcome

The Government's decision to give tax relief of Pounds 50 a week for all employer-supported registered childcare has been warmly welcomed by early years organisations. The childcare tax relief, which will begin from April 2005, was announced by chancellor of the exchequer Gordon Brown in his pre-Budget report on 10 December. He said, 'For every employee whatever their income level, employers will be able to provide, free of both employee national insurance and income tax and free of employer national insurance, 50 a week for approved childcare.'

The childcare tax relief, which will begin from April 2005, was announced by chancellor of the exchequer Gordon Brown in his pre-Budget report on 10 December. He said, 'For every employee whatever their income level, employers will be able to provide, free of both employee national insurance and income tax and free of employer national insurance, 50 a week for approved childcare.'

Mr Brown added, 'Help with childcare costs will now be available when approved childcare is provided in the child's own home, and after consultation we will widen the definition and therefore the numbers of approved childcarers for whom the 50 a week or tax credits can be offered.' A Department for Education and Skills spokesman said it would be consulting on widening the home childcarer scheme 'to include nannies'. But he was unable to say when the consultation would take place.

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