Under the welfare reforms currently going through parliament, families will be able to recover 70 per cent of childcare costs through the universal credit, but currently parents must work 16 hours or more a week to qualify for support with childcare.
The latest move to remove the "minimum hours rule" is expected to help 80,000 more families than had previously been estimated, with the government hoping it will encourage more low-income families to remain in work.
Making the announcement, Work and Pensions Secretary Iain Duncan Smith said: "We are determined to help more parents take their first steps into work, but under the current minimum hours rule parents are trapped in state dependency without the childcare support they badly need – providing yet another barrier to work.
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