Information on Help with Childcare Costs

Tax Credits

If you work and pay for childcare you may be able to get extra tax credits to help with the costs.

If you’re a single parent you must work 16 hours or more a week.

If you’re a couple you must both work 16 hours or more a week. Only one of you has to work these hours if the other is:

entitled to carer’s allowance

in hospital or prison

getting certain benefits, credits or reductions for disability or illness - e.g. Disability Living Allowance, Attendance Allowance, Personal Independence Payment or a disability premium for Housing Benefit

How much could I get towards childcare costs?

You could get up to 70% of the childcare costs you’re claiming for, up to a maximum of £175 a week for 1 child and £300 a week for 2 or more children.

What is Working Tax Credit?

Working Tax Credit gives financial help to working people who are on low incomes by topping up earnings. The childcare element is one part of the Working Tax Credit and it helps towards the costs of childcare. You need to be eligible for Working Tax Credit in order to claim for the childcare element.

Who can benefit from childcare element of Working Tax Credit?

Lone Parents who work at least 16 hours a week

Couples where both work at least 24 hours a week combined (or where one partner is incapacitated)

Support while you study

Discretionary Learner Support - If you’re 20 or over and on a further education course you may be able to get Discretionary Learner Support to pay for childcare. Each college has its own scheme so contact the college direct to find out more.

Childcare Grant

Full-time higher education students with children can apply for a Childcare Grant of up to £148.75 a week for 1 child or up to £255 a week for 2 or more children. The grant helps with childcare costs for children under 15, or under 17 if they have special educational needs.

You must be eligible for student finance to apply for a Childcare Grant. Any money you get is paid on top of your student finance and you don’t have to pay it back. In 2014 to 2015 you can apply for up to £150.23 a week for 1 child and up to £257.55 a week for 2 or more children. The amount you’ll get depends on your household income, the cost of your childcare and the number of children who are dependent on you

If you don’t give details about your childcare provider on your application form, your first payment will be a maximum of £116.15 a week or 85% of your estimate (whichever is less).Any money you get is paid on top of your student finance and you don’t have to pay it back. The money is paid in 3 installments over each term directly into your bank account.

Income-related, unemployment and housing benefits are not affected by a Childcare Grant. To qualify for a Childcare Grant the following must apply you’re a full-time student, your child must be under 15, or under 17 if they have special educational needs, you have a student finance package, or are eligible for one, you’re a permanent resident in England, the children in your grant application are financially dependent on you, your childcare provider is on the Ofsted Early Years Register or General Childcare Register - check with your provider, if your child is cared for at home, the carer can’t be a relative and must be registered with an appropriate body - check with Student Finance England

You can’t get a Childcare Grant if you’re a part-time student if you don’t qualify for a student finance package, if you or your partner are claiming the childcare element of Working Tax Credits or the childcare element of Universal Credit , to cover free childcare - including the free care that all 3 and 4 year olds are entitled to (15 hours a week), if your child is cared for by a relative or your partner mainly in the child’s home (even if the relative or partner are registered child minders). For further information or to apply visit

Can I get help with childcare costs while attending college?

If you’re studying and aged under 20 at the start of your course, Care to Learn can help pay for your childcare costs while you’re learning. It’s only available for courses in England that have some public funding. This can include courses in schools, school 6th forms, 6th form colleges. Call the Learner Support helpline to get an application pack.

You can get up to £160 per child per week if you live outside London, £175 per child per week if you live in London.

Care to Learn can help with the cost of childcare, including deposit and registrations fees, a childcare ‘taster’ session (up to 5 days), keeping your childcare place over the summer holidays, taking your child to the childcare provider

The childcare provider can be a Childminder, Pre-School Playgroup, Day Nursery, Out of School Club. All providers need to be registered with Ofsted.

Childcare payments go directly to your childcare provider. Before your childcare provider can be paid your childcare provider needs to confirm your child’s attendance and your school or college needs to confirm that you’re attending your course. Payments for travel costs go to your school or college - they’ll either pay you or arrange travel for you. Payments will stop if you stop attending your course; you finish your course or your child stops attending childcare

If your employer offers you childcare vouchers, it may affect how much tax credits you can get. If you want to know whether, overall, you would be better off taking the childcare vouchers please go to

Help with Childcare Costs From Your Employer

Computershare Voucher Services

Computershare Childcare Services (formerly known as Busy Bees) are an employee benefit that offer a tax break for working parents. A Childcare Voucher Scheme must be administered by an employer. Childcare Vouchers can be used to pay for all types of registered child care.
Childcare Vouchers are non-taxable and exempt from National Insurance contributions (NICs) for employees. Childcare Vouchers also offer National Insurance contributions savings for employers. Childcare Vouchers are a government work-life balance scheme, supported by HM Revenue & Customs (HMRC).
Childcare Vouchers have become a recognised payment method for child care in the UK. All eligible working parents, with children aged under 16 are able to benefit from Childcare Vouchers, provided their employer offers the Childcare Voucher scheme. Childcare Vouchers benefit both basic and higher rate tax-payers.
Computershare Childcare Services has been involved within the Childcare Voucher sector for over 10 years and currently supplies Childcare Vouchers to more UK organisations than any other provider. Computershare Childcare Services are the UK's largest dedicated Childcare Voucher provider. We have a team of over 250 staff dedicated to the administration, management and development of Childcare Vouchers. Computershare Childcare Services is a Computershare company

For more information visit

Free Childcare Places for 3 and 4 year olds

Your local authority provides free early years places for all 3 and 4 year old children within Redcar and Cleveland.

Is my 3 year old Child entitled to a free childcare place?

All eligible 3 and 4 year olds will be entitled to 15 hours of free early years provision per week for 38 weeks per year (570 hours per year). Your child can have their free place at a range of early years settings. These are school nursery classes, day nurseries, pre-schools and playgroups. Some childminders are also approved to offer the free entitlement. Your child can have a free place starting the term after their 3rd birthday. For further information or for an application form contact the Families’ Information Services on 0800 073 8800.

Free Childcare Places for 2 year olds

From September 2013 Redcar and Cleveland Council are offering some 2 year olds a free childcare place for up to 15 hours a week.

Is my child eligible for 2 year old free childcare place?

Your child can have a free 2 year old childcare place from the term after their 2nd birthday until the start of the term after their 3rd birthday. To be eligible you must also be receiving one of the following benefits:

Income Support

Employment and Support Allowance – income related

Income based Jobseekers Allowance

Guarantee element of State Pension Credit

Support under part VI of the immigration and Asylum Act 1999

Child Tax Credit, provided you are not entitled to Working Tax Credit and have an annual income below £16,190

All 2 year old children who are in the care of the Local Authority are eligible for a free childcare place. For more information and advice about the free 2 year old childcare places please contact the Families’ Information Service on 0800 073 8800 or visit

Some further websites/helplines that may be of use: