Families across Renfrewshire are being encouraged to check whether they are eligible for Tax-Free Childcare ahead of the summer holidays, as new figures show more parents than ever are benefiting from the scheme.
The latest figures from HM Revenue and Customs (HMRC) show a record 868,095 families across the UK used Tax-Free Childcare during the 2025/26 financial year, with the Government contributing almost £600 million towards childcare costs.
The scheme allows eligible working parents to receive a government top-up towards approved childcare costs. For every £8 paid into a Tax-Free Childcare account, the Government adds £2.
Parents can receive up to £500 every three months for each child, worth up to £2,000 a year. Families with a disabled child can receive up to £1,000 every three months, worth up to £4,000 annually.
The funding can be used for a range of approved childcare services, including childminders, after-school clubs, breakfast clubs and holiday activity programmes.
HMRC is encouraging parents to check their eligibility now as schools prepare to break up for the summer holidays.
HMRC Chief Customer Officer Myrtle Lloyd said: “I’m so pleased these figures show more families than ever are using Tax-Free Childcare to save on their bills.
“£2,000 is not a small amount and it can make a real difference – especially with the childcare costs of the summer holidays approaching. If you haven’t signed up yet, don’t miss out.”
Families may be eligible if they have a child aged 11 or under, or a disabled child aged up to 16, and both parents (or a single parent in a lone-parent household) meet the earnings requirements.
Parents must generally earn at least the equivalent of 16 hours per week at the National Minimum Wage or National Living Wage, while neither parent can earn more than £100,000 per year.
Families receiving Universal Credit or childcare vouchers are not eligible for the scheme.
Tax-Free Childcare can be used alongside the Government’s free childcare hours offer where eligibility requirements are met.
More information, including eligibility details and how to apply, is available through www.gov.uk.