Parents could ‘save £8,000 a year’ as childcare hours extended | Personal Finance | Finance

From May 12, tens of thousands of working parents can start applying for up to 30 hours of funded childcare. Eligibility requires a child to be at least nine months old by the cutoff date, September 1, 2025.

While applications for the additional hours have opened, the extended benefit comes into effect from September. Currently, families can secure 15 hours of free weekly childcare for children aged between nine months and two years.

Parents can check their eligibility and apply for the funded hours online through the Gov.uk website. The process might take around seven days, after which, upon approval, an 11-digit code is issued to parents, to be shared with their childcare provider.

The extension of free childcare hours could save roughly £7,500 per child each year, based on Government data.

When coupled with the new free breakfast club initiative and the school uniform price cap, this could add up to £8,000 for families with school-age children too.

Mumsnet’s Founder and CEO, Justine Roberts, said: “We’ve heard from countless women on Mumsnet pushed out of work by unaffordable childcare.

“This expansion of support is a major step in tackling that – giving parents, especially mothers, the freedom to stay in work if they choose, which benefits families and the economy.

“We urge all eligible parents to check what they’re entitled to and make full use of it.”

To be eligible for the funded childcare, and the exact amount of hours you can get each week depends on a variety of factors such as the child’s age and your income. Detailed eligibility criteria is available on the official Gov.uk website.

Last September, free childcare hours allowed working parents with children aged between nine months and two years to get 15 hours each week, benefitting 499,592 children.

Following the success of implementing 15 free childcare hours for youngsters at least nine months old last September, a substantial number of children have reaped the benefits.

So far, one in five families earning between £20,000 and £40,000 per annum were able to increase their work hours as a result of this rollout according to a government survey.

Over 2,700 respondents plan to increase their childcare hours when the rollout continues this September, with half ready to increase their working hours when this happens.

CBI Director of Future of Work and Skills, Matthew Percival remarked: “Moving from 15 to 30 funded hours gives working families greater flexibility, helps employers access more of the talent they need to grow, and supports a more productive economy.”

As the government begins accepting applications for the additional childcare hours, it has also initiated a consultation to explore ways to support nurseries in maximising their outdoor spaces for play and educational activities.

Education Secretary Bridget Phillipson stated: “This is just the beginning. Through the hard work of the sector, supported by our record investment, landmark school-based nursery rollout and focus on vital early learning support, we will deliver an early years system that gives every child the best start in life.”