How does Tax-Free Childcare work?

For working parents who pay for registered childcare for a child aged 11 or under, or 16 or under if disabled.

Applies to: England, Scotland, Wales, Northern Ireland Last checked against official sources: 6 October 2026

Official figures may have changed. Check the source.

For every £8 you pay into a childcare account, the government adds £2. You can get up to £500 every 3 months per child (£2,000 a year), or £1,000 every 3 months (£4,000 a year) if your child is disabled.

You usually need to be working, and your child must be 11 or under (16 or under if disabled).
Your provider must be signed up to the scheme.
Sign in every 3 months to confirm you're still eligible, or it stops.

Key facts

Government adds £2 for every £8
Up to £2,000 a year per child
Reconfirm every 3 months

How the top-up works

You open an online childcare account. You pay money in, and the government adds 20p for every 80p you pay. You then pay your childcare provider from the account.

Child	Most the government adds every 3 months	Most it adds a year
Not disabled	£500	£2,000
Disabled	£1,000	£4,000

Worked examples

Example 1. Priya pays £80 into the account. The government adds £20. She has £100 to spend on childcare.

Example 2. Tom wants the full top-up for his son over 3 months. He pays in £2,000. The government adds £500. He has £2,500 for childcare in that period. If his son were disabled, he could pay in £4,000 and get £1,000 added.

Who can get it

Your child can be included until the September after they turn 11. A disabled child can be included until the September after they turn 16.

You, and your partner if you have one, must each expect to earn at least these amounts over the next 3 months:

Your age	Minimum earnings over 3 months (before tax)
21 or over	£2,643.68
18 to 20	£2,256.80
Under 18, or an apprentice	£1,664

You can be employed or self-employed. You can still qualify while on sick leave, annual leave, or maternity, paternity or adoption leave.

Who cannot get it

You or your partner expect adjusted net income over £100,000 in the current tax year.
You get Universal Credit. You cannot have both at the same time.
You get childcare vouchers from your employer.
You foster the child.
You or your partner get a childcare bursary or grant.

If you get Universal Credit, wait for a Tax-Free Childcare decision before you stop your Universal Credit. If you get childcare vouchers, you must tell your employer to stop them within 90 days of applying.

What it can pay for

Registered childminders, nurseries, nannies, after-school clubs and holiday clubs can all be paid, as long as they are signed up to the scheme. Check with your provider before you apply. Extras like nappies, meals and trips count if your provider supplies them.

How to apply

It usually takes about 20 minutes online. You need:

your National Insurance number
your Unique Taxpayer Reference (UTR) if you are self-employed
the UK birth certificate reference number for each child
the date you started or will start work

You usually find out straight away. It can take up to 10 days if HMRC needs to make extra checks.

Sign in every 3 months to confirm your details. If you do not, your top-up will stop.

Related guides

Where these figures come from

Get it done

This takes you to the official service, which is free to use.

Apply for Tax-Free Childcare

Common questions

What can I use it for?

Registered childminders, nurseries, nannies, and after-school, breakfast and holiday clubs.

How quickly is money added?

Payments usually appear within one working day, with the government top-up added at the same time.

Source: Tax-Free Childcare

Checked against GOV.UK on 6 October 2026

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