Can I still use childcare vouchers in 2026?

No. The employer childcare voucher scheme ended in April 2026. It had been closed to new applicants since October 2018, with existing participants able to continue only if they stayed with the same employer. The scheme is now fully closed. Tax-Free Childcare is the main government-backed alternative for eligible working families.

Can I use Tax-Free Childcare to pay a babysitter?

Not through the standard scheme. Tax-Free Childcare applies to Ofsted-registered providers - nurseries, registered childminders, before and after school clubs, and holiday play schemes. Babysitters and nannies providing in-home care are not Ofsted-registered, so Tax-Free Childcare cannot be used to pay them.

What is the maximum I can get from Tax-Free Childcare?

The government contributes up to £500 per child per quarter - £2,000 per year. For disabled children, the limit is £1,000 per quarter (£4,000 per year). To receive the full annual top-up of £2,000 for one child, you need to pay in £8,000 for that child across the year.

Can self-employed parents claim Tax-Free Childcare?

Yes. Unlike the old childcare voucher scheme, which required employer participation, Tax-Free Childcare is open to self-employed parents. You need to expect to earn at least the equivalent of 16 hours per week at the National Living Wage over the coming three months, and your adjusted net income must be below £100,000.

What if I earn over £100,000?

If either parent in the household has an adjusted net income above £100,000, the household is ineligible for Tax-Free Childcare. With the childcare voucher scheme now also closed, the government-backed options are very limited for higher earners. A qualified financial adviser or HMRC can advise on what may still be available in your specific circumstances.