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Childcare Vouchers vs Tax-Free Childcare

What is Tax-Free Childcare?

Tax-Free Childcare is a new government initiative which being slowly rolled out from early 2017, and will replace the existing Childcare Voucher Scheme in April 2018. For eligible families, Tax-Free Childcare offers to cover 20% of childcare costs (up to £2,000 per child, per year), for children up to the age of 12.

The Tax-Free Childcare Info Hub offers a comparison chart to help parents currently using vouchers decide whether they should continue with the vouchers or change to the new system.  The Childcare Vouchers scheme will close to new joiners in October 2018.

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