Families are being alerted to a scheme that could save them £2,000 a year per child.
Tax-Free Childcare has saved 649,935 families on their childcare costs during the 2022 to 2023 tax year, according to HMRC.
HMRC is reminding eligible working families of the financial support available to pay for approved childcare including holiday clubs, breakfast and after school clubs, child minders and nurseries.
Last year, £533 million in government cash was shared by families across the UK who saved money on their childcare bills.
Tax-Free Childcare has helped up to 38,500 working families in Scotland reduce their childcare costs with a £2,000 a year tax-free payment.
— UK Government Scotland (@UKGovScotland) May 25, 2023
Find out more and how to apply:
➡️ https://t.co/pj1PHJ56XY pic.twitter.com/HBMydysbEM
Working families, with children up to the age of 11, or 16 if their child has a disability, can save up to £2,000 a year per child or £4,000 a year if their child is disabled.
For every £8 paid into a Tax-Free Childcare account, families automatically receive an additional government top up of £2.
Families can save up to £500 every 3 months for each child or £1,000 if their child is disabled.
More than one million families could be eligible for Tax-Free Childcare. Families who haven’t signed up should check their eligibility and sign up to start saving today.
Victoria Atkins, The Financial Secretary to the Treasury, said: “While thousands more working families are benefitting from Tax-Free Childcare, which is making a real difference to their childcare bills, many more are missing out on the help they’re entitled to.
“Parents should check their eligibility and apply online, the top-up could make a big difference to working families at a time they need it most.”
Myrtle Lloyd, HMRC’s Director General for Customer Services, added: “Tax-Free Childcare is a flexible benefit for families, allowing them to save towards the cost of childcare throughout the year and use when they need it. It can be a real boost to the household budget of working families. Search ‘Tax-Free Childcare’ on GOV.UK and sign up today.”
Opening a Tax-Free Childcare account is straightforward and can be done online in about 20 minutes.
Money can be deposited at any time at any time of the year to be used straight away, or whenever it is needed. Unused money in the account can be withdrawn at any time.
Why are you making commenting on The Herald only available to subscribers?
It should have been a safe space for informed debate, somewhere for readers to discuss issues around the biggest stories of the day, but all too often the below the line comments on most websites have become bogged down by off-topic discussions and abuse.
heraldscotland.com is tackling this problem by allowing only subscribers to comment.
We are doing this to improve the experience for our loyal readers and we believe it will reduce the ability of trolls and troublemakers, who occasionally find their way onto our site, to abuse our journalists and readers. We also hope it will help the comments section fulfil its promise as a part of Scotland's conversation with itself.
We are lucky at The Herald. We are read by an informed, educated readership who can add their knowledge and insights to our stories.
That is invaluable.
We are making the subscriber-only change to support our valued readers, who tell us they don't want the site cluttered up with irrelevant comments, untruths and abuse.
In the past, the journalist’s job was to collect and distribute information to the audience. Technology means that readers can shape a discussion. We look forward to hearing from you on heraldscotland.com
Comments & Moderation
Readers’ comments: You are personally liable for the content of any comments you upload to this website, so please act responsibly. We do not pre-moderate or monitor readers’ comments appearing on our websites, but we do post-moderate in response to complaints we receive or otherwise when a potential problem comes to our attention. You can make a complaint by using the ‘report this post’ link . We may then apply our discretion under the user terms to amend or delete comments.
Post moderation is undertaken full-time 9am-6pm on weekdays, and on a part-time basis outwith those hours.
Read the rules hereLast Updated:
Report this comment Cancel