PARLIAMENTARY WRITTEN QUESTION
Nurseries (22 July 2024)

To ask the Chancellor of the Exchequer, if she will make an estimate of the value of national insurance contributions that were exempted under workplace nursery schemes in each financial year between 2018-19 and 2023-24.

Asked by:
Ms Stella Creasy (Labour)

HMRC publishes the estimated cost to the Exchequer and number of claimants of various tax reliefs.

The estimated value of Income Tax and Class 1A National Insurance Contributions relief for “Employer Supported Childcare including workplace nurseries” can be found in the “Multiple_tax_types” worksheet of Estimated cost of non-structural tax reliefs (December 2023).

The figures include three forms of employer-supported childcare (ESC): workplace nurseries, childcare vouchers and directly contracted childcare. Use of these reliefs is not reportable to HMRC and so administrative data on their use is not available, nor is a detailed breakdown between the three forms of ESC. The introduction of Tax-Free Childcare and closure of childcare vouchers and directly contracted childcare to new entrants leads to the continuing reduction in the cost of ESC.

Answered by:
James Murray (Labour)
25 July 2024