Many Parents Can Claim £500 for Childcare This Summer: Here's How

• Eligible parents can claim up to £500 for childcare costs.
• Around 1.3 million families could benefit from tax-free childcare accounts.
• The scheme is underused, with only 384,280 families taking advantage so far.

Thousands of parents across the UK can claim £500 to help with childcare costs during the summer holidays, providing much-needed relief for working families. Despite the potential savings, many are unaware or not taking advantage of the tax-free childcare account scheme.

With these accounts, the government adds £2 for every £8 deposited, up to £500 every three months, saving parents hundreds on childcare costs. This scheme is available for children up to the age of 11, or 17 for those with disabilities.

Emma Lake reported in the Express that only a fraction of eligible families are using the scheme, with around 1.3 million families potentially missing out. The funds can be used for various childcare services, including holiday clubs, childminders, and nurseries.

To be eligible, each parent must earn at least the National Minimum Wage for 16 hours a week and less than £100,000 annually. Parents on sick or annual leave, or those planning to return to work soon after a leave, can also qualify. The scheme is not available to those receiving tax credits, Universal Credit, or childcare vouchers.

Tom Church, Co-Founder of LatestDeals.co.uk, said, "This support can really make a difference for a lot of families. If you’re eligible, it’s definitely worth looking into to help with the costs of childcare."