Understanding the government's top-up on childcare-account deposits — from application to payment
For every £8 you pay in, the government adds £2 to your childcare account
Apply online through the government's Childcare Choices website. You'll need to confirm your eligibility and provide basic information about your family and income.
Once approved, you'll receive your online childcare account. This is where you'll manage payments, view top-ups, and pay your childcare providers.
Add money to your childcare account using a debit card. The government adds 25% of what you pay in (equivalent to 20% of the final balance).
Use the money in your account to pay approved childcare providers directly. Payments are made electronically through the government system.
Do not use calendar quarters. Check the start and end date of your current eligibility period in your HMRC account, then enter that start date in the calculator.
You must reconfirm your eligibility every 3 months to continue receiving government top-ups. Here's what you need to know:
Add money via debit card
Automatic top-up
Combined total available
Direct to childcare provider
| Feature | Tax-Free Childcare | Childcare Vouchers | Universal Credit |
|---|---|---|---|
| Government contribution | 25% of deposit | Tax/NI savings | Up to 85% of costs |
| Maximum support | £500/period per child | £243/month | £951/month |
| Available to | New applicants | Closed to new applicants | Low income families |
| Income limit | £100K per parent | No upper limit | Low income only |
