What will these changes mean for you as a working parent?
At Enjoy Benefits Ltd, we aim to keep our clients up to date with changes to the childcare voucher benefit. As you may be aware, in the March 2013 Budget , the Government announced plans to introduce new measures to support working parents with their childcare costs. These new proposals will come into effect in 2015 and will run alongside the existing childcare voucher scheme, which will remain in place.
The new measures will give more families access to childcare vouchers. For some parents, the new plans will mean higher savings on their childcare costs but for others the changes would make them worse off. However, parents currently using childcare vouchers will be able to continue receiving them under the existing scheme and thus maintain their higher levels of savings.
Full details of the new proposals are not yet available from the Government but below are the key points, as we are aware, at the moment:
Parents who receive tax credits or Universal Credit will not be eligible for childcare vouchers.
The new measures will not be available for families where one of the parents earns over £150,000 a year. However, if these families are registered with the existing childcare vouchers, they can still make significant savings on childcare costs for their children up to the age of 15.
When the plans for 2015 are finalised, we will contact all parents we believe would be better served with the new arrangements. Anyone wishing to change will be transferred quickly and simply by us to ensure they have continuity of funds.
As soon as further information is available, we will send out another bulletin.