The consultation, launched today, outlines proposals to give families with children under five and disabled children under 17, 20 per cent of their annual childcare costs, up to £6,000 a year.
However, only households in which both parents work and do not already receive support through tax credits or Universal Credit, when it is introduced, will be eligible.
For the first time, the scheme, which will be ‘phased in’ from Autumn 2015, will include parents who are self-employed.
After the first year, the scheme will be extended to include families with children under 12 years old.
Proposals to introduce tax-free childcare were announced during the 2013 Budget in May, although the plans have now been widened to include people working as carers and those on maternity or paternity leave.
Register now to continue reading
Thank you for visiting Nursery World and making use of our archive of more than 35,000 expert features, subject guides, case studies and policy updates. Why not register today and enjoy the following great benefits:
What's included
-
Free access to 4 subscriber-only articles per month
-
Unlimited access to news and opinion
-
Email newsletter providing activity ideas, best practice and breaking news
Already have an account? Sign in here
