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Liverpool Echo
Liverpool Echo
World
Kate Lally

Parents 'distraught' as Budget sets out new free childcare rules

Many parents in the UK have been left "distraught" after the Chancellor announced new free childcare rules as part of the Budget on Wednesday.

Jeremy Hunt said he wanted to reform the childcare system, warning: "We have one of the most expensive systems in the world. Almost half of non-working mothers said they would prefer to work if they could arrange suitable childcare.

"For many women, a career break becomes a career end. Our female participation rate is higher than average for OECD economies, but we trail top performers like Denmark and the Netherlands. If we matched Dutch levels of participation, there would be more than one million more women who want to work, in the labour force. And we can."

READ MORE: Warning as DWP PIP claimants could be impacted by Jeremy Hunt's 'back to work' Budget

On childminders, Mr Hunt said he wanted to address the 9% decline in one year in England, adding: "I have ... decided to address this by piloting incentive payments of £600 for childminders who sign up to the profession, rising to £1,200 for those who join through an agency."

The Chancellor announced 30 hours of free childcare for all under-5s from the moment maternity care ends, where eligible.

Mr Hunt told the Commons: "I today announce that in eligible households where all adults are working at least 16 hours, we will introduce 30 hours of free childcare not just for three- and four-year-olds, but for every single child over the age of nine months.

"The 30 hours offer will now start from the moment maternity or paternity leave ends. It's a package worth on average £6,500 every year for a family with a two-year-old child using 35 hours of childcare every week and reduces their childcare costs by nearly 60%. Because it is such a large reform, we will introduce it in stages to ensure there is enough supply in the market.

"Working parents of two-year-olds will be able to access 15 hours of free care from April 2024, helping around half a million parents. From September 2024, that 15 hours will be extended to all children from 9 months up, meaning a total of nearly one million parents will be eligible.

"And from September 2025 every single working parent of under 5s will have access to 30 hours free childcare per week."

While the news has been welcomed by many parents and caregivers, some have been left disappointed. Reacting to the new rules on Twitter, Jacquie said: "It’s a joke, millions still trapped for another year the 2 years old will be eligible for free 3 year old by then anyway so it’s a nothing gift".

Jo said: "I have just shed a tear of disappointment that it won’t come in until 2025", while Rachael said: "I was so excited by this then realised it doesn't come in for more than two years. Distraught is an understatement".

Eddie said: "Why couldn’t they just introduce from April 2023 - absolutely scandalous it’s the hope that kills you".

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