The previously announced scheme will open for applications in the new year, with free childcare available from April 2024.
Which? explains how to apply for the new scheme and the other available childcare support you can access now.
Who's eligible for the new free childcare scheme?
Initially, the scheme will be open for parents of two-year-olds, but it will be extended to include parents with children aged over nine months in September 2024.
From September 2025, the government plans to make 30 hours of free childcare a week available to all children under school age.
How helpful is the new scheme?
With childcare costs eating into parents' budgets, any government help will be warmly received.
There are still drawbacks, however. Eligible children must be receiving childcare from an approved provider. Parents unable to secure a place for their child at an eligible institution won't be able to benefit from the support.
The government has increased funding for early years care across local authorities. But with many nurseries already full or near capacity, sector experts say it might not be enough. Especially if they're due to expand the availability of free childcare to 30 hours in time for 2025.
Commenting on the announcement, Neil Leitch, CEO of the Early Years Alliance, said: 'While any early years funding increases are, of course, welcome, the fact is that the additional support announced today is still likely to fall short of what the sector needs to successfully deliver the 30-hours-expansion in the long term.'
Find out more:What other childcare support is available?
Here's a breakdown of all the childcare support currently available:
15 to 30 hours free childcare
At the moment, children aged three and four in England are eligible for 15 free hours of childcare a week for 38 weeks a year. The care must be provided by an approved provider.
All children in this age bracket are eligible for 15 hours of free childcare. Working parents may be able to get 30 hours of free childcare.
Tax-free childcare
Working parents can receive a 25% top-up from the government based on their childcare costs. You can get up to a maximum of £2,000 a year, which you'll get if you pay £10,000 a year for childcare.
You must be in work, and childcare must be provided by an approved person or company.
Working tax credit childcare element
Universal credit childcare element
You usually have to be in work to qualify for the childcare element of universal credit. It covers 85% of childcare costs up to a maximum of £646.35 per month for one child or £1,108.4 for two or more.
Find out more:Other ways parents can save
Which? reviews products for babies and children throughout the year. You can get more for your money by buying the best-value goods whenever you can.
Find out how to save on:
source https://www.which.co.uk/news/article/free-childcare-expansion-details-a8EkV2d1UQQo