Choosing Childcare for a Baby: Nurseries, Childminders and Government Help (England)

Choosing childcare is one of the biggest practical decisions in the first year, and it helps to know the government support available before visiting a single nursery. This guide walks through what “approved childcare” means, how to check a provider is registered, and how the two main schemes work: Free Childcare for Working Parents, which GOV.UK says applies to families living in England, and Tax-Free Childcare. GOV.UK notes that Scotland, Wales and Northern Ireland have different free childcare schemes.

Start with “approved childcare”

GOV.UK says that help with childcare costs is available only for “approved childcare”. For Tax-Free Childcare, that includes a registered childminder, nanny, playscheme, nursery or club, a childminder or nanny with a registered agency, a registered school, or a home care worker working for a registered home care agency. For Free Childcare for Working Parents the list is narrower: a registered childminder, playscheme, nursery or club, or a childminder with a registered agency, or a registered school. The provider must also be on an Early Years Register with Ofsted or with a registered early years childminder agency (GOV.UK, “Help with the cost of childcare”).

The same page explains how to check whether a provider is approved. In England, use Ofsted or the list of registered childminder and childcare agencies. In Wales, use Care Inspectorate Wales. In Scotland, use the Scottish Care Inspectorate. In Northern Ireland, use the local early years team register.

Relatives and partners

GOV.UK’s rules for families in England and Scotland are specific. Tax-Free Childcare can pay for care by a relative, such as a grandparent, only if they are a registered childminder and care for the child outside the family’s home. Free Childcare for Working Parents cannot be claimed for care by a relative, and care by a partner is not accepted as approved childcare. Families in Northern Ireland face different conditions, which are set out on the same page.

Free Childcare for Working Parents: 30 hours in England

In England, eligible working families can receive 30 hours of free childcare a week for 38 weeks of the year for a child aged 9 months to 4 years. GOV.UK says some providers may offer fewer hours over more weeks. The provider may still ask for payment for extras such as meals, nappies, additional hours and trips, but if a family does not want to pay for extras the provider should agree an alternative, such as bringing nappies or food, and the free childcare remains available either way (GOV.UK, “Free Childcare for Working Parents: What you’ll get”).

Who qualifies

The eligibility page says that a child must usually live with the applicant, and that a parent or partner will not be eligible if their expected adjusted net income is over £100,000 for the current tax year. Each parent must expect to earn a minimum amount over the three months after applying, which GOV.UK sets at the National Minimum Wage or Living Wage for 16 hours a week on average. The page currently lists £2,643.68 (£203.36 a week) for those over 21, £2,256.80 for ages 18 to 20, and £1,664 for under 18s or apprentices. Parents on maternity, paternity, shared parental or adoption leave can still qualify (GOV.UK, “Free Childcare for Working Parents: Check you’re eligible”).

When to apply

An application can be made from when the child is 23 weeks old. When the hours can start depends on when the child turns 9 months old. GOV.UK’s timetable shows, for example, that a child turning 9 months between 1 September and 31 December can start on 1 January, with an application deadline of 31 December, and one turning 9 months between 1 April and 31 August can start on 1 September, with a deadline of 31 August. Parents returning to work after maternity, paternity or shared parental leave follow a separate table based on the return date (GOV.UK, “Free Childcare for Working Parents: When to apply”).

Applying involves setting up a childcare account. An approved application produces an 11-digit code, which is given to the childcare provider. The account must be signed in to every 3 months to confirm the details are up to date (GOV.UK, “Free Childcare for Working Parents”).

Tax-Free Childcare: the £2 top-up

Tax-Free Childcare works through a childcare account paid into by the family and topped up by the government. For every £8 paid in, the government adds £2, up to £500 every three months (£2,000 a year) for each child. The child must usually be 11 or younger, and the parent usually needs to be working or returning to work. The provider must be signed up to the scheme, so families should check before applying. It can also cover extras such as nappies, meals and trips where the provider supplies them. The account must be signed in to every 3 months to confirm eligibility, or Tax-Free Childcare will stop (GOV.UK, “Tax-Free Childcare”).

GOV.UK says HMRC will check eligibility for Tax-Free Childcare when someone applies for Free Childcare for Working Parents, and that a family can claim Tax-Free Childcare or Universal Credit childcare but not both at the same time.

A simple planning sequence

• Note the date the baby turns 9 months and use the timetable to find the earliest start date for free hours.
• Shortlist providers and check each in the relevant registration list for the nation.
• Ask each provider whether it is signed up to Tax-Free Childcare and how it handles extras.
• Set up the childcare account and apply before the deadline.
• Diarise the three-monthly sign-in.

The bottom line

Only approved, registered childcare qualifies for government help, and each nation has its own way to check registration. In England, working parents may get 30 hours of free childcare a week for 38 weeks from 9 months, applying from 23 weeks, and can also use Tax-Free Childcare, which adds £2 for every £8 up to £2,000 a year per child. Both need a childcare account confirmed every three months, and Scotland, Wales and Northern Ireland have different free childcare schemes.

Sources

• GOV.UK, “Help with the cost of childcare”
• GOV.UK, “Free Childcare for Working Parents”
• GOV.UK, “Free Childcare for Working Parents: What you’ll get”
• GOV.UK, “Free Childcare for Working Parents: Check you’re eligible”
• GOV.UK, “Free Childcare for Working Parents: When to apply”
• GOV.UK, “Tax-Free Childcare”