Increase in childcare support for parents on UC

The Government has announced that increases in childcare support for parents on Universal Credit will come into effect from 28th June.

The 46% rise in the childcare cap for parents on UC as well as cover for upfront costs was announced in the Budget.

The Department for Work and Pensions will raise the amount that parents in Great Britain can claim back monthly for their childcare costs on Universal Credit to £951 for one child and £1,630 for two or more children – up from £646 for one child or £1,108 for two or more children.

At the same time, the Government will help eligible parents cover the costs for the first month’s childcare when they enter work or significantly increase their hours.

The Department for Education is also launching a consultation in England aimed at removing barriers to childcare workers entering the sector. The Government is to launch a new recruitment campaign early next year to attract and retain talent and consider how to introduce new accelerated apprenticeship and degree apprenticeship routes to address the staffing crisis in the sector.

Other childcare changes announced in the Budget will be phased in over the next two years, including 15 free hours available for working parents of two-year-olds from April 2024 and 15 free hours from nine months to the start of school available from September 2024, rising to 30 free hours from September 2025.

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