Childcare plan 'will include carers'
























George Osborne

Please turn on JavaScript. Media requires JavaScript to play.










George Osborne: “Tax-free childcare will be a real help to working families”








The government says it wants to expand a new childcare tax credit scheme to include parents who stay at home because they are full-time carers.

A 12-week consultation on the scheme – first announced in March’s Budget – is expected to start later.

Families with two working parents could claim up to £1,200 a year per child.

The expansion of the scheme to carers, who look after disabled relatives and others, follows criticism the needs of non-working parents had been ignored.

The government says the overall scheme – set to replace the existing system of employer-supported childcare vouchers – will help 2.5 million families.

But Labour says there has been a cut in support since the coalition took power in 2010.


‘Lifestyle choice’

The UK has some of the highest childcare costs in the world, with many people with two or more children saying it does not make financial sense for both parents to work.



















Yvonne Goodwin

Please turn on JavaScript. Media requires JavaScript to play.










Financial Advisor Yvonne Goodwin and Imogen Thompson, from the Mothers at Home Matter group, debate the scheme








The new system is expected be phased in from autumn 2015, with children under five helped in the first year. It will then build up over time to include all children under the age of 12.

Families with two working parents on less than £150,000 each would be able to claim up to £1,200 a year per child.

Critics have said the focus on work will penalise parents who stay at home to look after their children, or are unable to work because they act as full-time “carers” for other adults.

However, extra details released by the government on Monday make it clear that parents who do not work because they are carers will also be eligible.

Carers are defined as those spending at least 35 hours a week looking after someone such as a disabled relative.

The scheme will not be extended to those who stay at home to bring up their children.



Lisa Frederiksen with her son, Casper



Lisa Frederiksen, from Epsom, Surrey, was “staggered” by childcare costs for her children Casper, four, and Elizabeth, two.

She said: “As a career-orientated woman, when I had my first child at the age of 40 I was staggered at the cost of childcare.

“My employer would not agree to a part-time role, so I was faced with childcare costs of £1,200 per month.

“After my second child, it became apparent that working was not going to pay. With two lots of childcare and the costs of commuting, it just wasn’t worth working.

“My Danish husband’s family cannot comprehend the cost of childcare here. They pay £300 a month for care in well-equipped, carefully staffed nurseries.

“This new scheme is a drop in the ocean, but we need a radical rethink.”



Chancellor George Osborne told BBC Radio 4’s World at One programme: “This is help for formal childcare. Obviously it’s not for stay-at-home mothers.

“I have huge regard for mothers who want to stay at home and look after their children. That’s their lifestyle choice. I want to help those families too. I’m not trying to be exclusive.

“We have a proposal on married couples’ tax breaks which I’m going to introduce in the Autumn Statement later this year… that will help stay-at-home mothers.”

But Neil Leitch, chief executive of the Pre-School Learning Alliance, which represents childcare providers, said the government needed to go further and give more help to all families.

He said: “This tax break does nothing to support those who choose to sacrifice their salary and put their careers on hold to stay at home and look after their young children.”

Under the proposal, parents will be required to open an online voucher account with a voucher provider and have their payments topped up by the government.

For every 80p families pay in, the government will put in 20p, up to the annual limit of £1,200.

The vouchers will be valid for any Ofsted-regulated childcare in England and equivalent bodies in Scotland, Wales and Northern Ireland.

Half of the funding for the new scheme will come from the abolition of the previous system of employer-supported childcare vouchers – which is provided by only about 5% of employers – and in part by funding switched from elsewhere in Whitehall.

A separate scheme will provide funding for parents who claim universal credit. It will see the state cover up to 85% of their childcare costs, up from 70% at present.

For Labour, shadow children’s minister Sharon Hodgson said: “Only David Cameron’s government could be so out of touch that they expect families to be grateful for help with childcare in 2015 when they’ve already seen costs spiralling and support taken away.”















Tax-free childcare: Examples for two-child families


Earners

Annual claim back limit

Details

Source: HM Treasury
KEY: Orange figures represent individuals not eligible for tax credits/universal tax credit.
Green figures represent individuals eligible for tax credits/universal tax credit.




figures

carerOne income of £120,000, one of £80,000


£1,200 per child


Two parents working full-time with annual salaries up to £150,000 each will be entitled to claim back 20% of childcare costs, with a maximum of £1,200 per child aged under 5, eventually rising to under-12s.




figures

Single parent earning £60,000


£1,200 per child


A single parent working full-time, who does not qualify for tax credits or universal credit, earning up to £150,000 will be entitled to claim back 20% of childcare costs, with a maximum of £1,200 per child.




figures

One income of £60,000


£0


If one parent works and the other does not, and the family does not qualify for tax credits or universal credit, they will not be able to claim.




figures

Two incomes of £12,000 each


85% of childcare costs


Two low-income workers who qualify for tax credits or universal credit and earn over the income tax threshold (set to be £10,000) will be able to claim 85% of childcare costs. The same applies to single parents.




figures

One income of £12,000, one of £8,000


70% of childcare costs


Families where both parents work, who qualify for tax credits and universal credit and one parent earns above the income tax threshold (set to be £10,000) and the other does not, will be able to claim 70% of childcare costs.


Source Article from http://www.bbc.co.uk/news/uk-politics-23565469
Childcare plan 'will include carers'
http://www.bbc.co.uk/news/uk-politics-23565469
http://news.search.yahoo.com/news/rss?p=childcare
childcare – Yahoo! News Search Results
childcare – Yahoo! News Search Results



カテゴリー: Childcare   パーマリンク

コメントを残す

メールアドレスが公開されることはありません。 * が付いている欄は必須項目です

次のHTML タグと属性が使えます: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>