Universal Credit

Universal Credit can pay up to 85 per cent of your childcare costs. It is available to families where single parents, or two parent families are both in paid work or have an offer of paid work. The monthly maximum amount paid back to you is £951 for 1 child or £1630 for 2 or more children.

Important to know

You must pay for your childcare costs yourself. Then you report them to Universal Credit, and Universal Credit pays some of the money back (up to 85 per cent).

You cannot claim Universal Credit at the same time as tax credits and tax-free childcare.

Tax credits

If you are an existing tax credits customer, you can claim back up to 70 per cent of your eligible childcare cost for children under 16 (or under 17 for disabled children). Depending on your income, you could get up to £122.50 a week for one child or £210 for two or more.

Tax credits are closed to new applications. You cannot make a new claim for tax credits, apply for Universal Credit instead.

Please speak to your work coach to find out about any upfront childcare costs.

How to claim tax credits

Tax credits have been replaced by Universal Credit for most people. You can still make a new claim for tax credits if:

Find out how to claim tax credits on the www.gov.uk website

If you cannot make a new claim for tax credits, apply for Universal Credit instead.