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Universal credit: Parents can claim more of their childcare costs Universal credit: Parents can claim more of their childcare costs
(about 7 hours later)
Working families on universal credit will receive a cash boost from Wednesday, when childcare payments rise by 47% in England, Scotland and Wales.Working families on universal credit will receive a cash boost from Wednesday, when childcare payments rise by 47% in England, Scotland and Wales.
The rise means parents can claim up to £951 a month for one child or £1,630 for two or more, to cover the cost of childcare while they work.The rise means parents can claim up to £951 a month for one child or £1,630 for two or more, to cover the cost of childcare while they work.
Work and Pensions Secretary Mel Stride says the change removes "one of the biggest barriers to work for parents".Work and Pensions Secretary Mel Stride says the change removes "one of the biggest barriers to work for parents".
Labour maintains the plans do not go far enough.Labour maintains the plans do not go far enough.
Rising costRising cost
Working parents eligible for support pay their childcare costs upfront and can then claim a refund - but the maximum for one child has been pegged at £646 a month since 2016.Working parents eligible for support pay their childcare costs upfront and can then claim a refund - but the maximum for one child has been pegged at £646 a month since 2016.
The amount has not kept up with the rising cost of childcare, leaving some parents unable to work as much as they would like, according to a report by a committee of MPs last December.The amount has not kept up with the rising cost of childcare, leaving some parents unable to work as much as they would like, according to a report by a committee of MPs last December.
The rise, announced in the 2023 Budget, is billed as part of the government's strategy to grow the economy.The rise, announced in the 2023 Budget, is billed as part of the government's strategy to grow the economy.
Ministers say improving support for the more than two million parents on universal credit will encourage them into work, filling job vacancies and enabling businesses to grow.Ministers say improving support for the more than two million parents on universal credit will encourage them into work, filling job vacancies and enabling businesses to grow.
Are you on universal credit? How will the changes affect you and your family? Tell your story by emailing haveyoursay@bbc.co.uk.Are you on universal credit? How will the changes affect you and your family? Tell your story by emailing haveyoursay@bbc.co.uk.
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Related Topics
Family & Education
Children
Inflation
Cost of living
Universal Credit
Childcare