Chancellor announces extra cash and support for parents

Chancellor Gordon Brown

Chancellor Gordon Brown announced extra cash for child benefits and
child care in his pre-Budget report.

He said the government wanted to help working families with the
cost of child care.

New ‘school-parent links’ would help prepare children for
school, he said.

The announcements In more detail:

– Employers will be able to offer £50 per week for approved
child care (as long as it is available to every employee), which
will be free of national insurance for the employer and free of tax
and national insurance for employees

– Child benefits are to be increased by 13 per cent: new benefit
rate of £58 for first child and £100 for two
children.

– New ‘school-parent links’ are to be created in 500
communities, which minister for children Margaret Hodge will
fund.

– The number of approved child carers will be increased by
widening the definition

– Every child of three and four will be guaranteed a nursery
place in April next year, which is six months’ ahead of the
government’s schedule.

– £406 million more of unringfenced money will be given to
local authorities to help keep council tax bills down.

Read statement in full