Source · Select Committees · Work and Pensions Committee
Fourth Report - Universal Credit and childcare costs
Work and Pensions Committee
HC 127
Published 20 December 2022
Recommendations
2
Accepted
Good quality childcare can have a transformative impact on the lives of children and their...
Recommendation
Good quality childcare can have a transformative impact on the lives of children and their families, and a lack of childcare, or support with paying for it, should never be a barrier to work. Childcare is expensive for all, but …
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Government Response Summary
The government is increasing the UC childcare maximum amounts (caps) payable to eligible UC claimants from summer 2023, increasing them to £950.92 for one child and £1,630.15 for two or more children. However, the department does not intend to conduct a specific investigation into the funding schemes of Scotland and Scandinavian countries.
Department for Work and Pensions
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10
Accepted
Para 76
Work Coaches already receive training on childcare support for UC claimants, but given the range...
Recommendation
Work Coaches already receive training on childcare support for UC claimants, but given the range of schemes available, the way that payments and suitable options can change with a claimants’ circumstances, and the need for timely information, there is a …
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Government Response Summary
The Department has been promoting the use of UC childcare and the FSF and ensuring guidance is in place and have also put in place Childcare Champions and Subject Matter Experts in regions to support Work Coaches, so they are not considering having Specialist Work Coaches in every Jobcentres.
Department for Work and Pensions
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Conclusions (1)
4
Conclusion
Accepted
Para 43
DWP, entirely reasonably, wants to reduce the amount that it loses to fraud via childcare payments in UC. However, we have heard that in doing so, by making payments in arrears, it has created an insurmountable barrier to work for some households. DWP’s recent efforts to encourage Work Coaches to …
Government Response Summary
The Department will be making a change to the Universal Credit Regulations 2013 to exempt any FSF payment made to childcare providers from the UC childcare cost calculation, which will allow UC claimants to receive a FSF payment in the usual way. Claimants will then submit evidence of that payment (paid by DWP) to claim back that same set of childcare costs within that same assessment period where the childcare has been delivered.