TFC25200 - Qualifying childcare: definition of qualifying childcare

Childcare Payments Act 2014, section 20 (1)

Only qualifying childcare can be paid for from a childcare account. The definition of qualifying childcare is split into two parts.

Childcare Payments Act 2014, section 2(2)(a)

The first of which is that the childcare is approved and regulated by Ofsted, its counterparts in Wales, Scotland and Northern Ireland or similar regulatory bodies.

Childcare Payments Act 2014, section 2(2)(b)

The second part of the definition of qualifying childcare is that the main reason, or one of the main reasons, for incurring the costs of the childcare is to enable the person to work, or where the person has a partner, to enable both the person and the partner to work. Below are some examples where work is the main reason for incurring childcare costs:

• parent works night shifts and catches up on sleep while the child is in childcare

• parent has a zero-hour contract and does not work every day. The child is in childcare every day so that the parent is available whenever they are called on to work

• childcare that covers days that are never worked when the childcare provider insists on that. For instance, where the parent works Monday to Thursday, but the provider insists on a 5 day per week placement

This list is not exhaustive but demonstrates that any direct or indirect link to work that requires childcare to enable a person to earn income would be acceptable as a main reason in terms of TFC eligibility.