Families on incomes of up to £59,000 will benefit from more generous tax credits for childcare, under a 10-year strategy designed to create an extra 1m childcare places.
Gordon Brown told MPs that the childcare element of the working tax credit will, from April 2006, cover 80 per cent of childcare costs up to a maximum of £300 a week, or £175 for one child. The existing credit covers 70 per per cent of costs up to £200 a week.
