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Tax-Free Childcare runs into problems

Two weeks after its launch, both childcare providers and parents are experiencing difficulties with the Tax-Free Childcare scheme.

Two weeks after its launch, both childcare providers and parents are experiencing difficulties with the Tax-Free Childcare scheme.

A number of providers have reported not being able to sign up to Tax-Free Childcare (TFC), either because they have not received a temporary password from HMRC, or the one they have been sent doesn’t work.

In some cases, settings do not know their Unique Tax Reference – needed for registration – or, in the case of charity-run settings, do not have one.

It follows concerns by the Childcare Voucher Providers Association that parents wanting to use TFC will be ‘left in the lurch’ because only a third of providers in the UK have signed up to the scheme.

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