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Editor's view

Are nannies about to become an endangered species? That is one interpretation that could be put on the Budget proposal last week that parents be eligible to claim childcare tax credit for registered 'home childcarers' working in the family home (see News, page 4). Essentially, nannies would have to register as childminders, becoming self-employed rather than employed by a family, if parents wanted to take this option.

Essentially, nannies would have to register as childminders, becoming self-employed rather than employed by a family, if parents wanted to take this option.

In addition, parents employing nannies will be hit by a 'triple whammy' of National Insurance rises, having to pay extra on their own salaries, their nanny's salary, and the employer's NI contribution.

The move to register home-based care is, of course, a welcome one. But why not set up nationwide nanny registration, as campaigners have demanded for so long? Will parents using home childcarers have to have their own homes inspected? Why is it acceptable for the 'rich', ineligible for the tax credit, to be exempt also from the benefit and security of having a registered childcarer?

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