Childcare Payments Bill — New Clause 2 — Review of Impact of State Help With Childcare Costs for Those in Work — 17 Nov 2014 at 19:15

The majority of MPs voted against requiring a regular report on the impact of state help with childcare costs for those in work.

MPs were considering the Childcare Payments Bill^[1]. The proposed new clause, rejected in this vote was titled: Review of impact on childcare costs and stated:

• (1) The Chancellor of the Exchequer shall, three months after this Act is passed, and every three years thereafter, review the impact of the measures in this Act on the cost of childcare with particular reference to—
• (a) the effectiveness of this Act on making childcare more affordable;
• (b) the average cost of childcare for parents in work, including the impact of other changes to the tax and benefits system and with reference to the trends in childcare costs since 2010; and
• (c) the impact of supply-led measures on the cost of childcare.

The Bill^[1] provided for payments of 25% of childcare costs, capped at £2,000 per child each year, for those responsible for children and in work. The explanatory notes to the Bill^[2] state an intent to make the payments in relation children under 12 (under 17 for disabled children) as well as an intent to make the payments available to those earning up to £150,000 per year. These payments were announced in the 2013 Budget when they were described as "tax-free childcare"^[2] (in the Bill they are described as top-up "payments"). The scheme has been publicised and has a start date of Autumn 2015^[3].

• [1] Parliament's webpage on the Childcare Payments Bill
• [2] Explanatory notes to the Childcare Payments Bill
• [3] Government News Story, Tax-Free Childcare: 10 things parents should know, March 2014

Debate in Parliament | Source |