1 December 2004

Assistance for employer-supported childcare from April 2005

Childcare vouchers are currently liable for tax on the cost to employers of providing them. From April next year, the first £50 a week of the cost of childcare vouchers to each employee will be free from tax and National Insurance Contributions. In order to qualify for this, the scheme must be available to all employees and the vouchers must be used to pay for approved or registered childcare. The Daycare Trust will be running regional seminars in January to advise employers on how to make effective use of childcare vouchers. For details visit www.daycaretrust.org.uk.