Childcare costs

There is an additional element of support to help towards a percentage of the costs of registered childcare, mirroring the childcare element of Working Tax Credit: 70% of childcare costs capped at £532.29 per month for one child or £912.50 for two or more children per month.

The government recently announced that from 2016, the childcare costs support working families may claim under UC will increase from 70% to 85% with a monthly limit of £646 for one child and £1,108 for two or more children. A difference is that it is available to all lone parents and couples, where both members work, regardless of the number of hours they work, removing the requirement to work 16 hours.

Those without earnings or other income receive the basic allowance plus any additions relevant to their circumstances. For those with earnings or other income, this is taken into account.