More details of how the Tax-Free Childcare scheme will work in practice have been revealed to Nursery World by HMRC.
It follows the announcement in the Budget that the scheme will start in April for parents of the youngest children, and be rolled out to all eligible parents by the end of the year.
Parents of children up to the age of 12 will be able to claim up to £2,000 per child per year, or £4,000 if the child is disabled, towards childcare costs.
Parents will only be able to use Tax-Free Childcare if their child’s setting has registered. Letters were sent out to more than 100,000 registered UK childcare providers last September and October asking them to sign up.
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