In April 2005 the Government introduced Childcare Vouchers, to help parents benefit from these savings, earning them extra disposable income, with new limits being introduced in April 2006.
A Childcare Voucher scheme can only be used as part of an employee benefit provided by an employer. Employees elect to take up to a maximum of £55 per week (£243 per month) of their salary as Childcare Vouchers. The amount chosen does not attract Tax or National Insurance contributions.
The amount of Tax and National Insurance contributions each parent will save with Childcare Vouchers depends on their current salary. More information can be found at http://www.hmrc.gov.uk/childcare.
The Avenue Day Nursery accepts all families who have childcare vouchers, in addition to those claiming Tax Credits. More information about Tax Credits can be found at http://www.hmrc.gov.uk/menus/credits.htm