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Childcare: Childcare benefits not reaching all

Government should change the way it pays childcare benefits to help those families who need it most, says a new report by a leading think tank.

Research by the Institute for Public Policy Research concludes that 4.7million more families would benefit if cash for childcare was switchedfrom Working Tax Credit to Child Tax Credit. Many more families areeligible for Child Tax Credit while Working Tax Credit only goes toparents in work.

The take-up rate of Child Tax Credit is also much higher.

The report, Equal Access? Affordable and appropriate childcare for everychild, said families currently missing out included lone parentfamilies, those with disabled children, workless households and largefamilies.

The report was published as the Childcare Bill was due to be debatedagain in the House of Lords and as Government prepares to publishbudgets for each department next month.

Children's charities and anti-poverty groups welcomed the report'sproposals.

- www.ippr.org/publicationsandreports.


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