Somerset County Council

Tax Free Childcare


Tax- free childcare is a new Government scheme to help working families with their childcare costs.

Parents will be able to apply for tax-free childcare and 30 hours funded childcare for working parents of 3 and 4 year olds (which launches from 1 September 2017) through one joint application.

What is Tax-Free Childcare?

Parents will be able to open an online childcare account, which they will use to pay for their childcare directly.

For every £8 a parent pays in, the government will pay in an extra £2. Parents can receive up to £2,000 per child, per year, towards their childcare costs, or £4,000 for disabled children – separate from funded entitlements. The offer will be available for children up to the age of 12, or 17 for children who are disabled.

To qualify, both parents will have to be in work, and each expecting to earn at least £115 a week – and not more than £100,000 each year. 

Tax-Free Childcare can be used to pay for:

  • Pre schools
  • Registered childminders
  • Day nurseries
  • School based care (that is paid for, such as after-school clubs)

Parents can’t claim Tax-Free Childcare at the same time as claiming tax credits, Universal Credit or childcare vouchers. Childcare providers can receive payments from both Tax-Free Childcare and childcare vouchers.

For more information visit:

The 30 hours funded childcare entitlement is being introduced alongside a new scheme to help working families with the cost of childcare called Tax-Free Childcare.

For further information on childcare funding please go to Paying for childcare.


Contact: Early Years Commissioning
Address: B2 South, County Hall, Taunton, TA1 4DY
Phone: 0300 123 2224
Opening Hours: Monday 8am to 6pm, Tuesday to Friday 8.30am to 5.30pm, Saturday and Sunday closed.

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