188体育

Tax-Free Childcare has saved 649,935 families on their childcare costs during the 2022 to 2023 tax year, an increase of more than 137,500 from the previous year according to the latest statistics released by HM Revenue and Customs (HMRC) today (24 May 2023).

With thousands more families benefitting from the government top up year on year, 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, 拢533 million in government cash was shared by families across the UK who saved money on their childcare bills.

Working families, with children up to the age of 11, or 16 if their child has a disability, can save up to 拢2,000 a year per child or 拢4,000 a year if their child is disabled.

For every 拢8 paid into a Tax-Free Childcare account, families automatically receive an additional government top up of 拢2. Families can save up to 拢500 every 3 months for each child or 拢1,000 if their child is disabled.

This is one of many ways the Government is easing the cost of living for people across the country, whilst taking action to halve inflation this year which is currently adding pressure to household budgets.

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鈥檙e 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鈥檚 Director General for Customer Services, said:

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 鈥楾ax-Free Childcare鈥� on 188体育 and sign up today.<

More than one million families could be eligible for Tax-Free Childcare. Families who haven鈥檛 signed up should check their eligibility and sign up to start saving 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 Unused money in the account can be withdrawn at any time.

Go to 188体育 to register and get started.

This follows new plans announced earlier this year to expand the government offer for 30 hours free childcare a week, so that working parents of children over the age of 9 months to when they start school can access support.

The government is offering . Check 188体育 to find out what cost of living support, including help with .

Further information

HMRC has created a video on YouTube to explain some of the biggest myths around eligibility for Tax-Free Childcare.

The latest Tax-Free Childcare statistics are released today (24 May 2023). Data is available up to March 2023.聽聽Nearly 650,000 families across the UK saved on their childcare costs during the 2022 to 2023 tax year.

For more information about Tax-Free Childcare and how to register.

Parents and carers could be eligible for Tax-Free Childcare if they:

• have a child or children aged up to 11. They stop being eligible on 1 September after their 11th birthday. If their child is disabled, they may get up to 拢4,000 a year until 1 September after their 16th birthday

• earn, or expect to earn, at least the National Minimum Wage or Living Wage for 16 hours a week, on average

• each earn under 拢100,000 per annum

• do not receive tax credits, Universal Credit or childcare vouchers

Each eligible child requires their own Tax-Free Childcare account. If families have more than one eligible child, they will need to register an account for each child. The government top-up is then applied to deposits made for each child, not household.

Account holders must confirm their details are up to date every three months to continue receiving the government top-up.

Childcare providers can also sign up for a childcare provider account via 188体育 to receive payments from parents and carers via the scheme.