SCOTTISH Secretary Donald Dewar will today announce an extra #5m for child-care in Scotland, writes Murray Ritchie, Scottish Political Editor. Mr Dewar wants #2m of the money, raised by the windfall tax, spent through local authorities on new child-care places and the rest on administration and improved services.

The money is in addition to #25m of lottery funding available to child-care improvements in Scotland over the next five years.

Mr Dewar will be in Glasgow to launch his new child-care strategy which was one of Labour's main policy initiatives before the General Election.

From next October, the new child-care tax credit announced in the Budget will mean families earning up to #17,000 a year receiving 70% of eligible child-care costs. These are up to #100 a week for families with one child and #150 for those with two or more children. Families earning up to #30,000 will get help through this new credit, worth up to #30m annually to Scotland.