The Government’s Child Care Scheme, announced in the Budget, will not deliver £2,000 per child for many parents says Bridgwater & West Somerset Parliamentary candidate Cllr Mick Lerry.
Labour said the richest families with expensive nannies would benefit most from the tax break, which offers 20% off the cost of childcare up to a maximum of £2,000 per child. To get this top amount of £2,000, parents would need to be spending £10,000 per child per year. The Child Care tax break will also be available for those families earning up to £300,000 a year.
In contrast, the average family helped under the proposals will only get around £400 off their costs, based on estimates of 1.9 million families claiming under the £750m Government Child care scheme.
Lucy Powell, the shadow childcare minister, said: “this would not compensate families for previous cuts to childcare schemes under the coalition. The scheme will benefit high earning families who have the highest childcare costs; the government is implying everyone will be £2,000 a year better off. But for the average family it will be less than £400”.
‘Labour would provide 25 hours of free childcare a week’
Cllr Mick Lerry, Labour Parliamentary Candidate for Bridgwater and West Somerset, said: “the weekly cost of 25 hours of nursery care in England on an average basis rose from £82 in 2010 to £107 this year. In the same period average earnings have risen from £449 to £477, the costs of nursery care have risen from 18% to 22% as a proportion of average earnings. The next Labour Government would use a levy on banks of 800 million to provide 25 hours of free childcare a week, for working parents with three and four-year-olds, worth £1,500; giving parents 95% of their Child Care costs”
Cllr Mick Lerry, went on to say: “Working parents of three and four-year-olds in England would get 25 hours of free childcare a week if Labour wins the next general election, plus wrap around provision between 8am and 6pm, from breakfast to after-school clubs in primary schools”.
The Government has also made this announcement on Child Care, at a time when children centres and services are at risk in Somerset, due to the cost cutting policies of Somerset County Council.
Cllr Mick Lerry, leader of the Labour Group on Sedgemoor District Council
Labour Parliamentary Candidate for Bridgwater and West Somerset.