Changes to the Childcare Approval Scheme
Taxpayers who receive tax credits for childcare costs should be aware of changes to childcare laws in England. From 18 July 2009, the Childcare Approval Scheme will no longer exist and all childcare providers approved under this scheme (for example a nanny) must either become registered with Ofsted or they will become unregistered providers. The change will also affect foster carers who work as childminders who will also have to register with Ofsted.
Taxpayers who are affected by this change are advised to check with their childcare provider what they plan to do from 18 July 2009. It is not possible to claim tax credits unless the childcare provider is registered with Ofsted.
If a childcare provider does not intend to register with Ofsted, an alternative registered provider would need to be used in order to be able to claim or continue claiming the childcare element of tax credits.