Statistics published last month show that there was a significant drop in the number of childcare codes being issued in September this year, compared with three months ago.
In order to use their 30 hours a week of funded childcare, parents must supply a code to their early years provider to get validated.
While 379,662 codes were issued in June for the summer term, the figure for the 2018 autumn term was 254,136.
Speaking in parliament in response to a question by shadow childcare minister Tracy Brabin, Zahawi said: "The decline in numbers in the autumn term 2018 is an expected effect driven by four-year-olds entering reception and no longer being able to use their code for the 30 hours policy.
"In autumn term 2018, there were 254,136 codes issued which is an increase from autumn term 2017 where there were 224,885 codes issued.
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