Children: Day Care

(asked on 28th November 2017) - View Source

Question to the HM Treasury:

To ask Mr Chancellor of the Exchequer, with reference to the Answer of 11 September 2015 to Question 8179 on children: daycare, what assessment he has made of the link between the introduction of tax-free childcare and (a) the cost and (b) demand for childcare.


Answered by
Elizabeth Truss Portrait
Elizabeth Truss
This question was answered on 6th December 2017

Around 10% of successful applicants for Tax-Free Childcare are self-employed or have a partner who is self-employed.

As of 28 November approximately 53,000 childcare providers have successfully signed up to receive Tax-Free Childcare payments.

The analysis set out in the Impact Assessment for Tax Free Childcare, published in March 2017, drew upon a range of data including data published by the Department for Education. The assessment can be found at: https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/652939/Tax-free_childcare_Impact_Assessment-March_2017.pdf.

In response to the questions about the relationship with National Savings and Investments, and the performance of their delivery partner Atos, I refer the honourable member to my response to Parliamentary Question (105683) on 16 October.

In response to the questions about the criteria for measuring the success of Tax-Free Childcare and the link between the introduction of Tax-Free Childcare and the cost and demand for childcare, I refer the honourable member to my response to Parliamentary Question (107892) on 24 October.

The costs of delivering Tax-Free Childcare are currently within budget.

HMRC will gradually open Tax-Free Childcare to parents of older children and all eligible parents will be able to apply by the end of March 2018. Childcare vouchers will then be closed to new entrants as planned.

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