Families in the East Midlands could save up to £2,000 a year towards their childcare costs, according to HM Revenue and Customs (HMRC). More than 31,570 families in the East Midlands saved money on their childcare costs in June 2022 and HMRC say the benefit could help pay for October half-term holiday clubs and wraparound care during the school terms.
Thousands of other families are now being urged not to miss the chance to save up to £500 every 3 months, or £1,000 if their child is disabled. Overall, HMRC paid out £41.6 million in top-up payments, which was shared between more than 391,000 families across the UK in June 2022.
Families can sign up to Tax-Free Childcare to help pay for holiday clubs, before and after-school clubs, childminders and nurseries, and other approved childcare schemes. It is available to families with children up to the age of 11, or 17 if their child has a disability. The government will pay 20 per cent of childcare costs by topping up the money paid into a Tax-Free Childcare account.
