Funding

Quality, accessible childcare is crucial to enable parents to go to work, but early education also helps to improve equality of opportunities for success in later life, regardless of a child’s background.

15 and 30 hours funding

All three and four-year-olds are entitled to 15 hours of early education a week, for 38 weeks of the year (570 hours total) until the child starts reception year at school. Children become eligible for this the term following their third birthday.

You might be able to get an additional 15 hours of childcare a week if you are working, giving you a total of 30 hours a week for 38 weeks a year (1140 hours in total). To be eligible for this, you must be a single parent in work, or part of a couple where both parents are in work, and:

  • Must earn at least 16 hours per week at the National Minimum Wage (if you are under 25) or the Living Wage (if you are over 25)
  • Neither of you must earn more than £100,000 per year

If you do not meet the earnings criteria, you may still be eligible if:

  • You are in a couple and your partner earns enough, but you do not because you are a carer, you are ill or disabled, or you are on parental leave, annual leave or sick leave.
  • You are self employed and you started your business in the last 12 months

Your eligibility may be affected by your immigration status if it means that you do not have access to public funds.

You can choose the provider where you want to use your funded childcare. This can be split between two different providers.

2 year funding

You can get free childcare for a two year old if you receive certain benefits, if your child has a disability, or they have been looked after by the local authority. If you are eligible, you can get 15 hours of childcare a week for 38 weeks year (570 hours total).

2 year funding is available if you receive any of the following benefits:

  • Income Support
  • Income based jobseeker’s allowance (JSA)
  • Income related employment and support allowance (ESA)
  • Universal Credit
  • Tax Credits
  • The granted element of Pension Credit
  • Receiving support under the immigration and asylum act

2 year olds can also receive funding if they:

  • Are looked after by a local authority
  • Have a statement of special educational needs or an education, health and care (EHC) plan.
  • Receive disability living allowance
  • Have left care under an adoption order, special guardianship order or a child arrangements order.

Tax Free Childcare

Tax free childcare is paid to help parents with the cost of childcare. The government will add £2 for every £8 you pay for childcare, up to a maximum of £2000 per child per year (or £4000 if your child is disabled). You can only use this for approved childcare. This means a registered childminder, play scheme, nursery or club, a registered school or a home care worker working for a registered agency.

You can apply for Tax Free Childcare if:

  • Your child is aged under 12 or under 17 if they have a disability
  • You are a single parent and you are earning the equivalent of at least 16 hours per week at the minimum wage (if you are under 25) or the Living Wage (if you are over 25)
  • You are part of a couple and you are both earing this amount, or one of you is earing and the other is unable to work due to illness, disability, or caring responsibilities
  • You (and your partner if you have one) are earning less than £100,000 per year
  • You are self employed and you started the business in the past 12 months

Your eligibility may be affected by your immigration status if it means that you do not have access to public funds.

You can apply for tax Free Childcare here: https://www.gov.uk/get-tax-free-childcare

You can not receive Tax Free Childcare and Universal Credit or Working tax Credit at the same time. You can use the governments Childcare Calculator to find out which option if better for you; this will depend on your family circumstances: https://www.gov.uk/childcare-calculator