Help with Childcare Costs:
Whether you are a parent entering work or already employed, in education or training, or using childcare for another reason, you may like to know what help is available for childcare costs.
Support Available To All Parents:
There are some forms of financial support available to nearly all parents.
Child Benefit:
HM Revenue and Customs Child Benefit Helpline:
Tel: 0845 302 1444
Website: www.hmrc.gov.uk/childbenefit
Child Benefit is paid to anyone who is responsible for a child living with them or who they maintain, to help with the general costs associated with this. It is paid for every child regardless of income or savings.
Child Tax Credit:
HM Revenue and Customs Tax Credit Helpline
Tel: 0845 300 3900
Website: www.hmrc.gov.uk
Child Tax Credit is awarded by the Revenue in recognition of the costs associated with bringing up children. As with all tax credits, Child Tax Credit is allocated in direct relation to the level of income received by the family, as well as the number of children, in addition to other circumstances.
A family does not have to be in paid employment to receive Child Tax Credit.
A family claiming Income Support will receive the full family element plus child allowances.
Families on higher incomes will still receive a basic family element.
Early Education Places:
Monmouthshire Early Years Section
Tel: 01633 644534
E-mail: lindaharris@monmouthshire.gov.uk
The Government funds all local authorities to ensure that all 3 and 4 year old children are eligible for a free part-time early education place. The funding provides up to five 2.5 hour sessions for 38 weeks per year. For more information regarding this, please visit the Nursery Admissions section on this website.
Support Available to Parents in Work:
Childcare Element of Working Tax Credit:
HM Revenue and Customs (The Revenue) Tax credit Helpline
Tel: 0845 300 3900
Website: www.hmrc.gov.uk
Working Tax Credit is financial support for working parents which includes an element that helps with the costs of registered childcare. This is called the childcare element.
To qualify for the childcare element of Working Tax Credit:
- Each parent in the child’s primary residence must be in paid work of 16 hours or more per week (both parents if it is a couple) or
- If only 1 member of a couple works 16 hours or more per week, the other parent must be incapacitated, in hospital or in prison.
Parents returning to work after unemployment:
Website: www.jobcentreplus.gov.uk
Website: www.direct.gov.uk
For some parents, returning to work after unemployment, there may be some financial support available to help with the transition to work. Such help would be available through the Job Grant. They would need to have been in receipt of a qualifying benefit for 26 weeks before starting the new job and the job would need to be for 16 hours of more per week for a duration of at least 5 weeks.
Childcare Vouchers and Employer-Contracted Childcare
Website: www.hmrc.gov.uk/childcare
Website: www.busybees.com
Childcare vouchers are an established way of paying for childcare, usually via a paper voucher redeemable by the childcare provider. Childcare vouchers are often administered through a voucher company and provided on the employer’s behalf, commonly through a salary sacrifice scheme, but can also be self-administered by the employers themselves. Childcare vouchers are exempt from tax and National Insurance Contributions up to a certain level, but only where the childcare used is registered with CSSIW.
Parents in Education:
Monmouthshire Student Finance
E-mail: financelll@monmouthshire.gov.uk
Tel: 01633 644507
Childcare Grant
Full and part time students studying in Higher Education, who have dependent children up to age 14 (or 16 where they have special needs) can claim a Childcare Grant of 85% of the costs of the childcare, providing they are using registered childcare provision. Students can only claim the Childcare Grant if they are not claiming the childcare element of tax credit. The childcare grant that Monmouthshire County Council offer is means tested and based on household income.
Assembly Learning Grant
This grant provides support to people from low-income families to access and remain in further and higher education. It is intended to help cover the costs of books, equipment, travel and childcare while studying.
NHS Childcare Allowance
NHS Student Grants Helpline:
Tel: 0845 358 6655
Website: www.nhsstudentgrants.co.uk
Trainee health care professionals can apply for help towards their childcare costs through the NHS Childcare Allowance. The allowance is means tested and offers up to 85% of registered childare costs. The parent cannot apply for the childcare element of Working Tax Credit if they are receving this allowance.
Parents in Training
New Deal
New Deal Helpline:
Tel: 0845 6062626
Website: www.newdeal.gov.uk
Parents can undertake free training for up to a year through various New Deal schemes and can receive some help with their childcare costs. Particularly through New Deal for Lone Parents and New Deal for Partners.
The Childcare subsidy is available to New Deal for Lone Parents and New Deal for Partners participants who take up work less than 16 hours per week and is payable for up to 52 weeks.
Families with disabilities or special needs
Disabilty Living Allowance Benefits Enquiry Line:
Tel: 0800 882 200/ Text phone: 0800 243 355
Contact a Family:
Tel: 0808 808 3555
Website: www.cafamily.org.uk
Family Fund Trust
Tel: 01904 621 115
Website: www.familyfundtrust.org.uk
Disability Alliance:
Tel: 020 7247 8776
Website: www.disabilityalliance.org
Accessing suitable childcare can be difficult for the parents of a child with a disability or a special need. The main financial support available is through Disability Living Allowance, of which the care component may be used towards childcare.
Parents may also be eligible for tax credits and in particular the disabled child’s premium. Approved home carers, providing childcare in the family’s own home, may in some circumstances be particularly helpful.