[UK] Universal Credit claimants to receive additional £1,300 for childcare

From this month, the UK’s Universal Credit (UC) claimants will be entitled to an extra £1,300 a year to help cover the cost of childcare as part of the Government's expansion of free childcare for working parents, Yahoo reports.

From April 8, parents claiming UC are entitled to claim £1,015 a month for childcare for a dependent under the age of 17.

The figure reportedly represents a rise of £65 from the £950 available to claim before the hike. Parents with two or more children can now claim up to £1,739 to help cover childcare costs - an extra £109 per month or £1,300 each year  - the maximum was £1,630 per month in the last tax year.

According to reporting from The Mirror, parents can receive up to 85 per cent of their childcare costs back before the next month's bills are due with Universal Credit childcare, meaning that they should have the means to pay a month in advance. 

This month, the UK Government made 15 hours of free childcare each week available to eligible working parents of two-year-olds. Applications for the scheme reportedly opened in January. More than 150,000 two-year-olds were confirmed to have childcare places when the scheme launched.

Thousands of further places are expected to be secured in weeks to come weeks; applications for 15 hours a week of free childcare for nine-month-olds open on May 12. The next round of the scheme will be rolled out in September.

When it is fully rolled out in September 2025, eligible working parents - including those on Universal Credit - will reportedly receive 30 hours of free childcare from the end of maternity leave to when their child starts school.

Parents accepting the full 30 hours will save an average of £6,900 a year on childcare costs.

Parents of younger children must be employed and earn a minimum of the equivalent of 16 hours of work at minimum wage, but less than £100,000 per year, to be eligible. The rule applies to parents in a couple and single parents.

Free childcare hours are ordinarily split over 38 weeks, however, parents can spread it out to cover more of the year by using fewer hours a week. The free hours must be used with a registered childcare minder, such as private nurseries or state-run pre-schools.

Mel Stride - Work and Pensions Secretary - said, "This big boost to childcare support will help even more parents step into the world of work and secure long-term financial security. We are delivering on our plan to get people into jobs, as we cut taxes, drive down inflation, and put money back into the pockets of hardworking families."

Source: Yahoo

(Link and quotes via original reporting)

From this month, the UK’s Universal Credit (UC) claimants will be entitled to an extra £1,300 a year to help cover the cost of childcare as part of the Government's expansion of free childcare for working parents, Yahoo reports.

From April 8, parents claiming UC are entitled to claim £1,015 a month for childcare for a dependent under the age of 17.

The figure reportedly represents a rise of £65 from the £950 available to claim before the hike. Parents with two or more children can now claim up to £1,739 to help cover childcare costs - an extra £109 per month or £1,300 each year  - the maximum was £1,630 per month in the last tax year.

According to reporting from The Mirror, parents can receive up to 85 per cent of their childcare costs back before the next month's bills are due with Universal Credit childcare, meaning that they should have the means to pay a month in advance. 

This month, the UK Government made 15 hours of free childcare each week available to eligible working parents of two-year-olds. Applications for the scheme reportedly opened in January. More than 150,000 two-year-olds were confirmed to have childcare places when the scheme launched.

Thousands of further places are expected to be secured in weeks to come weeks; applications for 15 hours a week of free childcare for nine-month-olds open on May 12. The next round of the scheme will be rolled out in September.

When it is fully rolled out in September 2025, eligible working parents - including those on Universal Credit - will reportedly receive 30 hours of free childcare from the end of maternity leave to when their child starts school.

Parents accepting the full 30 hours will save an average of £6,900 a year on childcare costs.

Parents of younger children must be employed and earn a minimum of the equivalent of 16 hours of work at minimum wage, but less than £100,000 per year, to be eligible. The rule applies to parents in a couple and single parents.

Free childcare hours are ordinarily split over 38 weeks, however, parents can spread it out to cover more of the year by using fewer hours a week. The free hours must be used with a registered childcare minder, such as private nurseries or state-run pre-schools.

Mel Stride - Work and Pensions Secretary - said, "This big boost to childcare support will help even more parents step into the world of work and secure long-term financial security. We are delivering on our plan to get people into jobs, as we cut taxes, drive down inflation, and put money back into the pockets of hardworking families."

Source: Yahoo

(Link and quotes via original reporting)