TFC35400 - Qualifying payments: variation of maximum top-up when a child is no longer a qualifying child

Childcare Payments Regulations 2015, regulation 12(1)

If a child ceases to be a qualifying child during an entitlement period, the relevant maximum top-up for that entitlement period is determined in accordance with the following formula:

X × A ÷ B, where X is, in the case of a disabled child, £4,000, or in the case of any other child, £2,000.

A is the number of days beginning on the first day of the entitlement period and ending on the day after the day on which the child ceases to be a qualifying child. B is the total number of days in the entitlement period.

Example

Stephen is a disabled child. He ceased to be a qualifying child as he exceeded the maximum age on 27 May 2018. The entitlement period runs from 18 April 2018 – 17 July 2018. Stephen would still receive the full 3 months entitlement and top up would be prorated for the period when he was a qualifying child.

£4,000 x 47 (number of days up to and including 28 May 2018) ÷ 91 (total number of days in the entitlement period) = £2065.93. This is the maximum top-up that is payable in respect of Stephen for the entitlement period 18 April 2018 – 17 July 2018.