Question to the Department for Education:

To ask the Secretary of State for Education, what recent steps he has taken to help improve the affordability of childcare.

We want parents to have access to a range of affordable childcare, giving them increased flexibility in their working hours and helping children thrive in the crucial early years. That is why the department is investing a planned £3.6 billion in our early education entitlements this year.

We offer parents a range of free early education entitlements for children aged 2 to 4 years old, giving them increased flexibility in their working hours and helping children thrive in the crucial early years. This includes 15 hours a week free childcare for 38 weeks of the year for all 3- and 4-year olds, with an additional 15 hours (30 hours free childcare) for working families. Working parents may also be eligible for help with up to 85% of their childcare costs through Universal Credit Childcare. This is subject to a monthly limit of £646 for one child or £1108 for two or more children, payable in arrears.

Tax-Free Childcare (TFC) is available for children from 0-11 years old, or up to 16 if disabled. The TFC scheme means that for every £8 parents pay their provider via an online account, the government will pay £2. This is up to a maximum contribution of £2,000 per child each year (up to £500 every 3 months), or £4,000 if disabled.

The early years sector has received significant financial support throughout the coronavirus pandemic to provide stability and reassurance. We continue to provide extra security to nurseries and childminders that are open by ‘block-buying’ childcare places for the autumn term at the level we would have funded before the COVID-19 outbreak, regardless of how many children are attending.

In addition, temporary measures have been put in place to protect parents who would normally be eligible for Tax Free Childcare or 30 hours free childcare, or both, but who, due to the consequences of the COVID-19 outbreak, temporarily do not meet the income thresholds.

These were introduced in May. On 26 October, the government announced that working parents who are eligible for TFC or 30 hours but have temporarily fallen below the minimum income requirement, as a result of the COVID-19 outbreak, will continue to be entitled to TFC or 30 hours of free childcare, or both if they are receiving income from the Job Support Scheme or Self-Employment Income Support Scheme grants. This will continue until at least April 2021.

Critical workers who may exceed the income threshold for TFC or 30 hours for the 2020-21 tax year as a result of working more to play a vital role in tackling the COVID-19 outbreak will also continue to be eligible this tax year as a result of these temporary measures.