Government expected to announce new childcare initiative

The Government is expected to launch a new childcare voucher initiative in the next few days to bring down the cost of childcare for the so-called squeezed middle.

The Government is expected to launch a new childcare voucher initiative in the next few days to bring down the cost of childcare for the so-called squeezed middle.

According to The Guardian, the Government is set to announce a flat-rate childcare voucher paid through the tax system, likely to be worth up to £2,000 per child for those earning between £20,000 and £40,000. 

______________________________________________________________________
Recruiting?

Find experienced part time or flexible staff today. View our latest recruitment offer.
______________________________________________________________________

This would be funded by streamlining the £7bn different revenue streams spent on childcare, including means-tested vouchers, free entitlements and childcare tax credits.  It is also likely to announce changes to childcare ratios to bring down the cost of childcare.

The move comes as Labour increases its attack on the Government's policies on working women and as the debate over increases to benefits, including tax credits takes place. Labour's Yvette Cooper has claimed the changes to child benefits combined with below inflation rises in benefits and tax credits represent a "huge assault" on millions of working families.

Research compiled by the Commons library for the shadow equalities minister shows 4.6 million women who receive child tax credit directly will be affected by the 1% cap on increases to tax credits and other benefits. Cooper also claimed new mothers who earn less than £12,000 a year are losing £1,300 in support due to a combination of below inflation rises in maternity pay and tax credits plus cuts in pregnancy support.

Cooper told The Guardian that working mums and mums who stay at home with young children "have been hardest hit every time".




Comments [1]

  • Anonymous says:

    How can it affect both working mums and stay at home mums? I am a working mum and get no help at all from the government and I cannot afford to have another child because of childcare cost! But how can other mums who are on benefits and their partner on benefits afford to have another child (3)? It can’t be that hard on benefits if you are having child number 3 and it’s planned!! Answer me that. It should be harder for a person on benefits than a person who is working!


Post a comment

Your email address will not be published. Required fields are marked *