Childcare Assistance Eligibility and Application Guidelines
The UK government has announced a series of measures aimed at addressing staff shortages and increasing nursery places ahead of the final phase of the free childcare policy expansion starting in September 2025.
Since April this year, eligible parents have been entitled to 15 hours of free childcare per week for two-year-olds. From September 2024, this support was extended to children from nine months old. In a significant move, the allowance will be doubled to 30 hours per week for all children aged nine months to school age from September 2025.
The government's childcare policy has already saved over 320,000 children 15 hours of government-funded childcare per week since its rollout in September. This provision is available for 38 weeks of the year during school term time, so parents will need to make separate childcare arrangements for the holidays.
To apply, you and your partner (if you have one) must be in work and earning a minimum of £183 per week. However, the support is eligible as long as you (and any partner) earn less than £100,000 each. You can apply now on the government website.
The Department for Education has widened the application window for free childcare, allowing parents to apply earlier ahead of starting or returning to work, improving uptake and enabling smoother transitions for families.
The government is addressing staff shortages and nursery place availability primarily through increased funding, expanding eligibility and hours, improving application processes, and direct support grants to providers to meet increased demand and staffing needs during this policy expansion.
The early years funding is set to rise to over £9 billion next year, including a £75 million grant to support providers in delivering more places, and a 45% uplift in the early years pupil premium to help with staffing and quality improvements.
Primary schools can now apply for up to £150,000 of the £15 million to support the expansion of nurseries across England. The government has also promised to triple its investment in breakfast clubs to over £30 million.
Keir Starmer's government has voiced its commitment to the policy, and Chancellor Rachel Reeves has said she will confirm steps to protect education and early years priorities as part of her first Budget.
Childcare providers may levy activity fees, meal charges, or nappy costs to help make up for the government's set hourly fee, which may not be as high as what they would charge parents. Parents are advised to check with their chosen providers about any additional costs.
The rollout of the new policy began in April this year, and the government has promised £1.8 billion to support the expansion of government-funded childcare and £15 million to expand school-based nurseries. Last year, the former Conservative government announced plans for a new childcare policy, making free childcare hours available to the vast majority of working families.
The new childcare policy could save working families thousands of pounds each year, with average part-time nursery costs at £149 per week (£7,210 per year) and full-time costs at £300 per week (£14,030 per year).
Officials have stated that while they cannot guarantee every parent will get a place exactly where or when desired, they are confident the rollout will proceed well and help more parents return to work and boost economic growth. Around 70,000 additional places and 35,000 early years educators are still needed to deliver the final phase of the policy next year.
In summary, the government's expanded free childcare policy is a significant step forward for working parents, providing financial relief and enabling more parents to return to work. The government's measures aim to address staff shortages and increase nursery places to ensure the policy's successful rollout.
- As part of the financial relief measures, the government's expanded free childcare policy will save working families thousands of pounds annually, particularly those with part-time nursery costs averaging £149 per week or full-time costs averaging £300 per week.
- In the realm of education-and-self-development, the Department for Education has extended the application window for free childcare, allowing parents to plan ahead when starting or returning to work, ensuring smoother transitions for families.
- Recognizing the importance of personal finance and general news, the government is addressing staff shortages and nursery place availability in the childcare sector through increased funding, widened eligibility, and improvements in application processes, aiming to support providers in meeting the increased demand.
