Parents will not lose 30-hour or Tax-Free Childcare eligibility during Covid-19 outbreak

Any working parent who is usually eligible for the 30 hours or Tax-Free Childcare will remain eligible if their earnings fall below the minimum level as a result of Covid-19.

Key worker parents whose income may have risen above the threshold because they have taken on more work, or worked longer hours during the crisis, will also not lose their eligibility, subject to parliamentary approval.

The DfE said that these changes will mean that critical workers and the parents of vulnerable children can still benefit from these entitlements even if their working hours fall as a result of self-isolating, illness, furloughing or job loss - or, in the case of many critical workers, their hours increase.

This temporary flexibility will ensure key workers can continue to access the childcare they need to enable them to work. These arrangements will be reviewed over the summer, the Department said.

Minister for children and families Vicky Ford said, ‘Juggling the demands of work and childcare is never easy for parents, and now more than ever they have our full support. Nurseries, childminders and all our early years settings are working hard to continue offering safe and high-quality childcare places for critical workers and parents of vulnerable children.

‘No parent whose income falls as a result of this virus should lose their eligibility for free childcare at this time. That’s why we are confirming that anyone who was previously eligible should remain so.

‘I am also asking local authorities to extend the validity of 30 hours codes of any parents who have missed their chance to reconfirm. This will help smooth the transition period when settings reopen.’

All early years providers remain closed except to key worker parents and vulnerable children. No decision has been made yet on when the current lockdown will end.

Meanwhile, more than 70 childcare groups and the sector membership organisations, have called on the Government to allow children to delay starting Reception until January or April 2021 and to stay at their early years settings instead.

Teaching unions have also today written to ministers to air their concerns about re-opening schools too early and putting staff and families at risk.

Eligibility criteria

Parents are required to reconfirm their eligibility for 30 hours free childcare and Tax-Free Childcare quarterly. The 30 hours deadline for the summer term has been extended to the 31 August to give working parents extra time to protect their place.

The temporary changes are in line with wider Government measures to make sure working parents remain eligible for 30 hours free childcare and Tax-Free Childcare even if they fall below the minimum working wage threshold due to coronavirus, equal to 16 hours per week at the national minimum wage.  

Local authorities can extend the validity dates on the 30 hours codes received by parents who are critical workers during the summer term, ensuring those who are eligible can access the childcare offer despite having missed their reconfirmation date or the application deadline of 31 March 2020.

DfE guidance for early years and childcare providers during the coronavirus outbreak will be updated to reflect these temporary changes.

The move follows the Government's recent decision to give councils the flexibility to move funding between local authority areas for childcare entitlements in exceptional circumstances, to make sure sufficient childcare places are available for vulnerable children and those of critical workers.