Covid-19 Coronavirus

Childcare credit award scheme FAQs

About the childcare credit

The Childcare credit is a universal credit paid by the Department of Education, Sport and Culture (DESC, the Department) to Government registered child day care centres or registered childminders to support the Early Education of all eligible children.

Eligibility for a childcare credit award

In order to be eligible for a childcare credit award, a child must be resident in the Isle of Man and have their third or fourth birthday in the school year to which the credit applies.

Applications are now open for the academic year commencing in September 2024, for those children whose 4th birthday falls between 1 September 2020 and 31st August 2021 and for those children whose 3rd birthday falls between 1st September 2021 and 31st August 2022.

Applying for a childcare credit

In the first instance, you should secure a place for your child with a registered child day care centre or registered childminder.

When you have confirmation of a place, please complete the online application form.

You will be sent a letter to confirm the intention of DESC to pay the childcare credit to the relevant child day care centre or registered childminder.

How much is the credit

There is a universal credit of £4,166 per eligible child for each year, which can be used towards the cost of a pre-school place with a provider registered with the Department of Health and Social Care.

Receiving confirmation of credit award

If you have not already done so, you should secure a place for your child with a childcare provider registered with the Department of Health and Social Care.

Complete and sign the tear off slip from your award letter and hand this in to your chosen Childcare provider. Agree with the childcare provider how much credit you wish them to offset against your invoices, subject to the restrictions below. Your provider will reclaim the credit applied from the Department of Education, Sport and Culture.

How is the childcare credit award paid

The Childcare Credit is a universal credit paid by DESC to registered childcare settings for the purpose of supporting early education.

In the event that the registered childcare setting is unable to provide the place to the eligible child on a particular day or days due to circumstances beyond their control (for example, due to an outbreak of infectious, communicable illness), the credit will still be payable to the childcare provider and is therefore not redeemable for additional sessions on another date. In the event of extenuating circumstances, an appeals process is available.

Restrictions on when you can use your credit award

The childcare credit award is allocated on a monthly basis and can be claimed a month in advance, the amount of award available for a child who attends pre-school all year round will be £347 per month. The amount of award available for a child who attends term-time will be up to £415 per month with the exception of December, April and July when up to £282 can be claimed and there is no credit remaining for August.

Please note that the credit may only be used within the school year and any balance remaining at the end of August will be lost.

Knowing when all available childcare credit has been used

Your provider is responsible for keeping a record of the amount of credit that has been applied to your bills and should be able to tell you how much is left at any time.

You can also check how much has been claimed by the provider against your credit by contacting the Department of Education, Sport and Culture on +44 1624 687146 or by email at ChildcareCredit.DESC@gov.im

Attendance at two settings

For parents applying for a Childcare Credit for different providers for the eligible child, the sum payable to each provider may be split in proportion to the agreed time spent at each setting by the child. Please contact the Department of Education, Sport and Culture Childcare Credit team via DESC on +44 1624 687146 or e-mailing ChildcareCredit.DESC@gov.im to discuss your allocation to each provider prior to making an application.

Registering part way through the year

You can apply for the credit award at any time during the school year and, providing you have been resident for the full year, you will be entitled to the full year's credit. Please note, however, that the credit must be used within the school year and any balance remaining at the end of August will be lost.

Registering if you have recently moved to the Island

If you take up residence after the start of the school year in which your child is eligible for a pre-school credit, the amount of credit to be awarded will be calculated on a pro rata basis from the date of residence. The calculation is based on one twelfth of the childcare credit per month.

For example, if you arrive in December 2024, you will be entitled to 9 months credit for the 2024-25 academic year.

If you're leaving the Island

If you are leaving the Island, you should notify the Department of Education, Sport and Culture Childcare Credit team via DESC on +44 1624 687146 or emailing ChildcareCredit.DESC@gov.im of your departure date. Entitlement to the childcare credit would be on a pro rata basis up to the date of departure at the rate applicable.

Childcare providers charges

This varies depending on the provider, the length of sessions and the number of sessions you commit to, so should be checked with the provider. DESC does not determine the charges for Childcare Providers.

Changing your childcare provider

Contact the Department of Education, Sport and Culture Childcare Credit team to notify them that you are changing your childcare provider. The Childcare Credit team will contact your current provider to ensure they have submitted their final claim, you will receive a revised credit award letter, including a tear-off slip showing the amount of credit previously claimed and the balance remaining. Complete and hand in the tear-off slip to your new provider.

What if you have a dispute with your childcare provider

The Department of Education, Sport and Culture has no powers to arbitrate in a dispute between you and your provider. The Department can, however, provide information as to how much credit has been claimed against an award, or the balance remaining, and may be able to place a 'stop' against the award to prevent further credit being deducted.

Attending a Primary School in the same area as your childcare provider

Acceptance of a child into a childcare setting has no influence on where the child can be subsequently enrolled for primary education. Details of the catchment areas that exist for primary schools may be obtained from the Department of Education, Sport and Culture by telephoning +44 1624 685820.

If your provider or childminder has to close

In the event of such closure, the Department will review the terms and conditions of the award and funding may be withdrawn for the duration of this closure period.

If you are separated from your child’s other parent and your child attends two different settings

In the case of estranged parents applying for childcare credit for different providers for the eligible child, the sum payable to each may be split in proportion to the time spent by the eligible child with each parent during a normal week. Please contact the Childcare Credit Team on +44 1624 687146 or by email at ChildcareCredit.DESC@gov.im

Review of decisions

Where the Department has rejected an application for a childcare credit or has determined to award a lesser credit than was applied for, the applicant may request that the Department reviews its decision.

A request for a review must be made in writing within one month of the date of notification of the determination.

The Department will appoint an officer of the Department (other than an officer involved in the original determination) to reconsider the application and will notify the applicant of the outcome of that reconsideration.

If you wish to request a review, please email the Childcare Credit Team at ChildcareCredit.DESC@gov.im

Further information

For matters relating to the Childcare Credit Award system, please contact the Department of Education, Sport and Culture Childcare Credit Team by telephone at +44 1624 687146 or by email to ChildcareCredit.DESC@gov.im

Back to top