The finding came from a poll of nearly 1,200 parents commissioned by childcare voucher company Childcare Choice.
Iain McMath, managing director of Childcare Choice, said the organisation's research showed just two in every hundred working parents signed up for their entitlement. Reasons parents didn't sign up included not having the time to apply or not realising how much they could save.
"With most working parents unaware of the savings, it's no wonder they don't make the time to sign up," said McMath.
HM Revenue & Customs, which is responsible for the voucher scheme, told Children Now it does not keep figures of take-up so was unable to confirm or reject the findings. "We don't retain statistics about the level of take up, but we know, anecdotally, that vouchers are popular," said a spokesman.
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