11/10/2023

Working Families Urged To Check Eligibility For Tax-Free Childcare

HM Revenue and Customs (HMRC) has reminded working families to check their eligibility for Tax-Free Childcare, which can help with childcare costs for school holiday clubs, breakfast or after school clubs, childminders or nurseries.

Tax-Free Childcare provides working families with up to £2,000 a year per child off their childcare bills for children up to the age of 11, or £4,000 a year up to the age of 16 if their child has a disability.

For every £8 paid into a Tax-Free Childcare account, families automatically receive a top up from the government of £2. Using the tax-free top up, families can save up to £500 every 3 months for each child or £1,000 if their child is disabled.

Opening a Tax-Free Childcare account is quick and easy and can be done at any time of the year. Families who have not yet signed up should check their eligibility and apply online today.

It takes around 20 minutes to open an account and money can be deposited at any time. The money can be used straight away or left in the account and used whenever it is needed. Any unused money can be withdrawn at any time.

Myrtle Lloyd, HMRC's Director General for Customer Services, said: "Families need plenty of childcare options when the weather turns cold and wet and days get shorter. We would urge parents to ensure they're taking advantage of all opportunities available – whether it's sending their child to wraparound school club or a holiday club during the half term break. Tax-Free Childcare provides financial help that fits your family - to support your childcare needs and save you money. Search 'Tax-Free Childcare' on GOV.UK to get started."


Related Northern Ireland News Stories
Click here for the latest headlines.

24 November 2021
NI Faces Childcare Crisis That Could Impact Parent's Ability To Work
Northern Ireland could be facing a childcare crisis which would have a severe impact on parents' ability to work, the Employers for Childcare (EfC) charity has warned.
19 May 2008
Minding Kids Is No Childsplay
Many families seeking childcare in Northern Ireland are finding the search difficult, according to a major new survey on childcare commissioned by NICMA - the Childminding Association.
30 August 2023
HMRC Urges Families To Open Tax-Free Childcare Account
HM Revenue and Customs (HMRC) has urged parents to open a Tax-Free Childcare account to save up to £2,000 per child on their yearly childcare bills. Families can use their Tax-Free Childcare account to pay for any approved childcare including holiday clubs, breakfast and after school clubs, child minders and nurseries.
05 December 2023
Full-Time Childcare Now More Than £10,000 A Year In NI
The average cost of a full-time childcare place in Northern Ireland is now more than £10,000 a year, an increase of 14% since 2021, according to a new report from Employers For Childcare (EFC).
19 June 2019
Families Under Strain This Summer As Childcare Costs Rise
Many parents are set for an "extremely difficult" summer due to increasing childcare costs, a report has found. The average cost of a full-time childcare place in Northern Ireland is £166 per week, equating to over one third of median household incomes, the charity Employers for Childcare has found.