Help with Childcare Costs - while you work

Whether you are parents of toddlers or teenagers, you could get help with your childcare costs. What help you receive depends on your personal circumstances like household income, how many hours of childcare you need and the age and number of children you have. See age range and help available below.

Help available and age range

• 30 Hours Free Childcare - age 3-4
• Tax-Free Childcare - age 0-11 (up to 16 with Special Education Needs - SEND)
• Tax Credits for Childcare - age 0-15 (up to 16 with SEND)
• Universal Credits for Childcare - age 0-15
• Childcare Vouchers - age 0-15
• Free for 2s - Free Early Learning - age 2
• Free Early Education - age 3-4
• Disability Living Allowance/Direct Payments - age 0-16

See also

• Document downloads section for our quick reference fact sheets
• Our Help with Childcare Costs - while you study page

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30 Hours Free Childcare

For working parents with 3 and 4 year old children. You can usually get 30 hours free childcare if you and any partner are:

• Working and earning at least £120 per week, but no more than £100,000 per year
• The earnings limit does not apply if you are self-employed and started your business less than 12 months ago
• If you, or your partner, are on maternity, paternity or adoption leave, or you're unable to work because you are disabled or have caring responsibilities, you could still be eligible

You may be able to get the following types of support at the same time as 30 hours free childcare:

• Universal Credit
• Tax Credits
• Childcare Vouchers or Salary Sacrifice Schemes

You are not eligible if:

• Your child does not usually live with you
• The child is your foster child
• Either you or your partner has a taxable income over £100,000

Please note: if you are not eligible for 30 hours free childcare - you will still receive the free 15 hours 3 and 4 year old entitlement. 

You can view or download a list of our approved 30 hours free childcare providers on our 30 hours free childcare page.

You can get 30 hours free childcare at the same time as claiming Universal Credit, Tax Credits or Childcare Vouchers.

Getting help with your childcare costs will depend on your personal circumstances. For full criteria details go to the government's Childcare Choices website (external link).

To get an estimate of how much you could get towards childcare costs, go the government's childcare calculator website (external link).

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Tax-Free Childcare

For working parents with children up to 11 years old (or up to 16, with Special Educational Needs and Disabilities -SEND). For every £8 you pay in, the government will add an extra £2 up to £2,000 per child, per year.

You, and any partner, must each expect to earn (on average) at least £120 per week (equal to 16 hours at the National Minimum or Living Wage). Also, if you, or any partner, are on maternity, paternity or adoption leave, or you're unable to work because you are disabled or have caring responsibilities, you could still be eligible. 

You may also be eligible if you have a partner and one of you gets any of the following benefits:

• Carers Allowance
• Employment and Support Allowance
• Incapacity Benefit
• Severe Disablement Benefit

You're not eligible if either you, or your partner, expect to earn £100,000 or more.

You can use Tax-Free Childcare with the free 15 hours and free 30 hours schemes

Parents can't use Tax-Free Childcare at the same time as they receive Childcare Vouchers, Universal Credit or Tax Credits. 

Getting help with your childcare costs will depend on your personal circumstances. For full criteria details go to the government's Childcare Choices website (external link).

To get an estimate of how much you could get towards childcare costs, go to the government's childcare calculator website (external link).

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Tax Credits for Childcare

If you and any partner are a working parent with children up to 15 years old (or up to 16 with SEND), you can claim back up to 70% of your eligible childcare costs, up to a cap. You and any partner must be working at least 16 hours a week each.

You may also be eligible for Child Tax Credit, even if you’re not working

Note: Universal Credit is being phased in over the next few years. It will replace a number of existing benefits, including Tax Credits. If you are already receiving Tax Credits, you don't need to do anything now.

You can’t claim Universal Credit, Tax Credits, or Tax-Free Childcare at the same time.

Getting help with your childcare costs will depend on your personal circumstances. For full criteria details go to the government's Childcare Choices website (external link).

To get an estimate of how much you could get towards childcare costs, go the government's childcare calculator website (external link).

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Universal Credits for Childcare 

If you and any partner are working, or you’re due to start work, and you’re claiming Universal Credit, you can claim back up to 85% of your eligible childcare costs for children under 16. Further information can be found on the GOV.UK website (external link).

You and any partner will usually need to be:

• 18 or over
• under State Pension age (external link)
• have less than £16,000 in savings
• not in full time education or training

Further information can be found on the GOV.UK website (external link).

You may also receive extra support if your child has a disability and receives Disability Living Allowance, PIP, or is registered blind

Read more about Disability Living Allowance / Direct Payments on the government's Help if You Have a Disabled Child pages (external link).

See the GOV.UK website for more information about Universal Credit and extra support for children with disabilities (external link).

Note: Universal Credit is being phased in over the next few years. It will replace a number of existing benefits, including Tax Credits. Whether you can claim will depend on where you live and your personal circumstances.

You can't claim Universal Credit, Tax Credits or Tax-Free Childcare at the same time.

Getting help with your childcare costs will depend on your personal circumstances. For full criteria details go to the government's Childcare Choices website (external link).

• Download our Parent Information Sheet - How Universal Credit will affect eligibility for Free for 2s from 1 April 2018 (PDF, 79KB)

To get an estimate of how much you could get towards childcare costs, go the government's childcare calculator website (external link).

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Childcare Vouchers

These are vouchers for working families with children under 16 (or under 17 if disabled). The amount you can get in Childcare Vouchers depends on how much you earn and when you joined the scheme. You pay for your childcare before tax and National Insurance deductions are made.

You can get a reduction on the Tax and National Insurance Contributions you pay on your childcare costs

Note: Childcare Vouchers are being phased out. However, parents already using childcare vouchers can continue to do so as long as their employers continue to offer them. 

• See the latest information about Childcare Vouchers at GOV.UK (external link).

You can’t use Childcare Vouchers at the same time as Tax-Free Childcare. Over time, Tax-Free Childcare will replace Childcare Vouchers and childcare arranged directly by your employer.

Getting help with your childcare costs will depend on your personal circumstances. For full details go to the government's Childcare Choices website (external link).

To get an estimate of how much you could get towards childcare costs, go to the government's childcare calculator website (external link).

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Free for 2s - Free Early Learning for 2-year-olds

Free Early Learning places of up to 15 hours per week are for some families, with 2-year-old children, claiming certain benefits (e.g. Income Support, Tax Credits) and have an annual household salary of £16,190 or less.  A 2-year-old child can also get Free Early Learning if any of the following apply:

• they’re looked after by a local council
• they have a current statement of special education needs (SEN) or an education, health and care (EHC) plan
• they get Disability Living Allowance
• they’ve left care under a special guardianship order, child arrangements order or adoption order

You will need to apply to your local council. If eligible, places start the term 'after' the child's second birthday (see table below):

Note: when the Free Early Learning entitlement for 2-year-olds ends, your child will move into a Free Early Education place for 3 and 4-year-olds (see Free Early Education details below) - quite often at the same childcare setting. You will need to discuss this with your childcare provider.

To find out more, view the full eligibility criteria, view or download a list of approved childcare providers or simply apply using our online form, visit our Free Early Learning page.

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Free Early Education - up to 15 hours per week for all 3 and 4 year olds

Free Early Education places of up to 15 hours per week are for all families of 3 and 4-year-olds. Places for 3 and 4-year-olds start the term 'after' their 3rd birthday (see table below).

You do not need to qualify or apply to your local council - simply go direct to an approved childcare provider and ask for a place. Places start from the term after the child's third birthday and stop when the child starts in a school reception class (or reaches compulsory school age if this is later).

See the table below:

Did you know that all 3 and 4 year olds are eligible for the Free 15 hours Early Education offer?

To find out more or view or download our list of approved childcare providers, visit our Free Early Education web page.

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Disability Living Allowance / Direct Payments (also see Universal Credits for Childcare section above)

For families with children with disabilities. Read more about Disability Living Allowance / Direct Payments, including the full criteria details on the government's Help if You Have a Disabled Child pages (external link).

• See more information about Universal Credit and extra support for children with disabilities - GOV.UK (external link).

You can't claim Universal Credit, Tax Credits or Tax-Free Childcare at the same time.

Getting help with your childcare costs will depend on your personal circumstances. For full details go to the government's Childcare Choices website (external link).

To get an estimate of how much you could get towards childcare costs, go to the government's childcare calculator website (external link).

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Document downloads

View or download our quick reference fact sheets:

• Which Childcare Benefits can be used together? (PDF, 2MB)
• Help With Childcare Costs While You Work (PDF, 111KB)
• Help With Childcare Costs While You Study (PDF, 146KB)

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Information correct at time of publication - 18 October 2017. Source: GOV.UK Childcare Service website (external link).