The Chancellor has announced increased the availability of free childcare from approved providers for all parents in the Spring 2023 Budget. From September 2025, up to 30 free hours will be available for children over nine months and under five.

From April 2024:

  • Children from the age of two will be entitled to 15 hours of free childcare.
  • Children from three to four will be entitled to 15 hours of childcare, which can be increased to 30 if the parents are eligible (see below).

From September 2024:

  • Children from the age of nine months will be entitled to 15 hours of free childcare.
  • Children from three to four will be entitled to 15 hours of childcare, which can be increased to 30 if the parents are eligible (see below).

From September 2025:

  • Working parents of all children over nine months but under five will be entitled to 15 hours of free childcare, this can be increased to 30 if the parents are eligible (see below).

It is worth noting that the free hours of childcare are for 38 weeks of the year.

Children will be eligible for 30 hours of care where:

  • Both parents are working.
  • Over the next three months, both parents need to expect that their earnings are equivalent to at least 16 hours at the applicable National Minimum or Living Wage.
    • Self-employed individuals can use averaging.
    • Those becoming self-employed in the last 12 months can earn less and still be eligible.
  • Neither parent can have an adjusted net income in excess of £100,000.
  • A parent (and their partner) must have a National Insurance Number and at least one of the following:
    • British or Irish citizenship.
    • Have settled or pre-settled status, or are waiting for a decision having applied for this status.
    • Permission to access public funds.

Applications can be made online.

Useful guides on this topic

Budget 2023: At a glance
Freeview summary of the measures announced in the Budget 2023

Childcare: Free and tax-free Childcare
What childcare support is available? Can my child get 15 or 30 free hours of childcare? Am I eligible for the 25% Government contribution towards childcare costs through the Tax-Free Childcare scheme?


Squirrel ad


Are you enjoying our content? 

Thousands of accountants and advisers and their clients use www.rossmartin.co.uk as their primary TAX resource.

Register with us now to receive our receive our FREE SME Topical Tax Update & newletter