Question to the HM Treasury:
To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of removing or raising the maximum monthly limit for childcare support through Universal Credit and Tax-Free Childcare in the context of his upcoming Spring Budget.
The maximum monthly limit for childcare support through Universal Credit and the similar offer in Tax-Free Childcare is in place to provide fairness in the welfare system between those receiving out of work benefits and those in work.
It is therefore right that there should be a reasonable cap on the childcare costs that a household can have reimbursed through Universal Credit in each of their monthly assessment period, as well as in Tax-Free Childcare.
As with all tax and welfare policy, we keep these amounts under constant review.