The Conservative Party has announced plans to extend free childcare to parents with incomes exceeding £100,000 if they win the next general election. Party leader Kemi Badenoch criticised the current system, describing it as a “cliff edge” that disincentivises higher earners from working more.
Under the proposed policy, all parents working at least 16 hours per week would be eligible to claim free childcare, removing the existing income cap that restricts access for higher earners. Ms Badenoch emphasised that the current arrangement forces many to make difficult decisions about promotions and pay rises because of childcare affordability.
She stated, “Conservatives believe that you shouldn’t be punished for working more, but this childcare cliff edge does exactly that.”
READ MORE: DWP to Pay £965 Monthly to Younger State Pensioners Starting October
READ MORE: HMRC Sets Monday Deadline for Self-Assessment Registration to Avoid Penalties
Ms Badenoch, a mother of three, highlighted the challenges families face in balancing work and childcare. She added that the policy change would particularly benefit women, who often carry a greater share of childcare duties, by supporting their career progression and boosting the economy.
A spokesperson for the Labour Party responded by criticising the proposal, saying, “It tells you everything you need to know about the Tories that the first of their own tax policies they want to unpick is one helping higher earners. They clearly don’t want to admit that they set the thresholds in the first place.”
Currently, entitlement to free childcare depends on several factors including the child’s age, the parents' employment status, and combined income. Parents are ineligible if either their or their partner’s expected adjusted net income exceeds £100,000 in the current tax year. The Conservative plan seeks to abolish this income limit and provide greater childcare support to families with higher earnings.