Welfare Reform - will it 'pay to work' for parents?
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Nora Smith, Policy and Information Director with Employers For Childcare commented:
“Working families here in particular are feeling the impact of the introduced changes. Changes to date include the reductions in support with childcare costs under Working Tax Credit and reduced tapers on eligibility for Child Tax Credit. With more changes due from 6 April, many families are facing further financial support being removed”.
The timescale for the introduction of Universal Credit will commence from October 2013, with the full force of the legislation due to be implemented by 2017. Of particular concern to Employers For Childcare is the impact of the new system on childcare costs.
“Most worryingly of all and what is not clear is what support will be available with childcare costs. We have long argued that childcare is both an economic and a labour market issue. With the high cost of childcare, many parents need the financial support in order to justify remaining in the labour market. If further support is removed, and the cost of childcare outweighs the financial benefits of working, it will place many families under considerable strain”.
Employers For Childcare recently launched a petition to highlight the importance of childcare affordability. Hundreds of signatures from a mixture of parents, employers and politicians have already given their support. To show your support for this petition, go to www.employersforchildcare.org
If you are a parent and have concerns about the changes, please contact the Childcare Benefits Advisory Team on 0800 028 6538 or email cba@employersforchildcare.org.