3. Types of Childcare

Family or friends

The first choice for many parents. They can be free, flexible, convenient and already know your child. They are not registered or inspected. So if you want help with your childcare costs through Working Tax Credit you need to use someone registered with Ofsted or nationally accredited ( Quality assured) to take children over eight.


Registered Childminder

Registered Childminders look after children in their own home. They usually offer childcare that covers the times that most working parents need. Some offer childcare during evenings and weekends.
Childminders are almost always self-employed. They are registered with Ofsted and inspected regularly.


Daycare nursery

Daycare nurseries provide childcare for children up to four years old for part-time or full time working parents or students. Almost all provide early education (also called nursery education or pre-school education). Some also provide after school and holiday care for school aged children.

Some daycare nurseries provide childcare outside of the 'standard' working day. This may be later in the evening, overnight or at weekends. This service is rare, however.

You might come across 'nurseries' which don't provide childcare throughout the day, but offer morning or afternoon classes for two, three and four year olds. It is helpful to think of these as nursery schools.
 
Most day nurseries are private businesses. They are registered with Ofsted and inspected regularly.


Extended hours early education

Some childcare providers who offer early education are only open for 2-3 hours in the morning or afternoon. However, some groups have extended their opening hours to meet the needs of some working parents. They might open earlier in the morning, over lunchtime or later during the afternoon.

These provisions might be private businesses or run as a charity. They are registered with Ofsted and inspected regularly.


After school and before school childcare

After school clubs provide childcare when school ends until five or six o'clock. Some provide childcare before school starts - often known as a 'breakfast club.' These provisions might be private businesses or run as a charity. If they provide care for children under the age of eight years they will be registered with Ofsted and inspected regularly.


School holiday care

Often called a 'holiday club' this type of childcare provision is aimed at the needs of working parents. It covers all school holidays (except, sometimes, Christmas) and is open for the standard working day.

It might be a private business or run as a charity. If they provide care for children under the age of eight years they will be registered with Ofsted and inspected regularly.


Nanny or au pair

Nannies, au pairs and 'mother's helps' look after your children in your own home. This meets the needs of working parents, including those who work evenings, nights or weekends.

Nannies are often, but not always, trained and experienced in childcare.
The au pair is a cultural exchange for young people aged between 18-27. An Au Pair lives as part of the family and is not usually trained or even very experienced in childcare.

'Mother's helps' usually include some element of childcare among other domestic chores. They usually help mothers or fathers who are at home, rather than those who need childcare while they are at work.
You are their employer and are responsible for insurance, income tax and the like. They are not registered or inspected, so there are no checks on their suitability except references that you follow up. Remember to follow up references even if they have been checked by an agency.

You are not able to claim the childcare element of Working Tax Credit if you use a nanny, au pair or 'mother's help' unless they join the Ofsted Voluntary Childcare Register.

The Suffolk Families Information Service has a list of nanny and childcare agencies.

Ofsted Voluntary Childcare Register

Most childcare providers have to register with Ofsted by law. Changes in the law mean that childcarers who do not have to register can choose to join the voluntary part of the Ofsted childcare register. This allows eligible parents to claim tax credits to help with the cost of care. Types of childcarers who can register include:
  • those providing care for children aged over 7, such as out-of-school clubs and play centres;
  • activity based care (sports, drama or art clubs); and
  • care provided in the child's own home such as nannies, au pairs or home based care for disabled children.

The Suffolk Families Information Service has a list of nanny and childcare agencies. You should also  contact them to find out who is on the Ofsted Voluntary Childcare Register.

The Daycare Trust provides more information of types of childcare.

Help with the Costs of Childcare

Tax Credit Ready Reckoner: A simple guide to working out tax credit entitlement

Child Tax Credit and Working Tax Credit: Leaflet