This summer, the Department for Work and Pensions (DWP) is offering a payment of up to £1,739 per month for parents, providing significant financial relief to families, especially those on Universal Credit. Let’s explore who is eligible, how to apply, and the benefits associated with this scheme.
The DWP provides financial support throughout the year, with up to £1,739 available per month for eligible parents during the summer. This support is particularly crucial for parents who are working and paying for childcare.
Despite these benefits, many parents remain unaware of the schemes available, potentially missing out on valuable financial aid.
Childcare Cost Reimbursement
Parents paying for childcare for children aged between nine months to five years can claim back a significant portion of their childcare costs through Universal Credit. This includes expenses for preschool, after-school clubs, nannies, and holiday clubs.
Eligibility Criteria
Who Can Qualify?
To qualify for the DWP £1,739 payment this summer, parents must meet the following criteria:
Childcare Costs: Parents can claim up to 85% of their childcare costs through Universal Credit.
Maximum Amounts: The maximum claim is £1,739 per month for two children or £1,014 per month for one child.
Income Threshold: Households typically need to have an annual income below £40,000, or £50,000 for larger families.
Parents can submit their claims up to three months in advance. Payments are processed after the claim is submitted, ensuring timely financial support.
Payment Dates
Child Benefits Distribution
Around 6.9 million families claim Child Benefits, which are generally paid weekly, either on Monday or Tuesday. Single parents on Universal Credit can also receive these payments. The current rates are:
First Child: Up to £25.60 per week.
Subsequent Children: £16.95 per week for each additional child.
Complexity of Claims
Claiming these benefits can be complex, and parents are advised to seek guidance from relevant authorities or professional advisers. This ensures they fully understand their entitlements and can maximize their benefits.
Parents should apply online via the official Gov.UK portal. Those eligible for Universal Credit will also receive the ‘Child element’—an additional £288 per child each month, added to the regular Universal Credit payment.
Setting Up a Childcare Account
Applicants must set up a childcare account on the official portal. Payments will be directly disbursed to the bank account linked to the childcare account. Claims must be completed within 28 days of signing up, or the application will need to be resubmitted.
Assistance and Support
If parents encounter any difficulties while applying, they can contact HM Revenue & Customs for assistance. This ensures that all queries are resolved, and the application process is as smooth as possible.
Additional Information
Adjustments and Benefits
The government periodically adjusts benefits to help citizens cope with rising costs and inflation. Parents paying for childcare for children aged nine months to five years are entitled to Universal Credit. Childcare must be provided in person, not online.
Alternative Schemes
For parents who do not qualify for Universal Credit, there is the Tax-Free Childcare scheme. This scheme provides a 20% discount on childcare expenses, covering up to £10,000 per year.
For example, if a family contributes £8,000, the government adds an additional £2,000, offering a substantial bonus towards childcare costs.
The DWP £1,739 payment for parents this summer is a vital support scheme for families managing childcare expenses. By understanding the eligibility criteria, application process, and available benefits, parents can take full advantage of this financial aid.
For those not qualifying for Universal Credit, the Tax-Free Childcare scheme offers an excellent alternative to manage childcare costs.
FAQs
Who is eligible for the £1,739 payment?
Parents on Universal Credit paying for childcare can qualify.
How much can parents claim for one child?
Up to £1,014 per month.
What is the income threshold for eligibility?
Households must have an income below £40,000, or £50,000 for larger families.
How often are Child Benefits paid?
Weekly, either on Monday or Tuesday.
What is the Tax-Free Childcare scheme?
It provides a 20% discount on childcare expenses, up to £10,000 per year.
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