Sweeping childcare reforms in Budget

JEREMY Hunt yesterday promised a major expansion in state-funded childcare and tax breaks for businesses in Budget measures aimed at boosting economic growth.

The Chancellor said a recession would be avoided and inflation would fall dramatically as the economy was "proving the doubters wrong."

In an effort to remove barriers to work, he promised up to 30 hours a week of free childcare for eligible households in England with children as young as nine months, instead of three and four-year-olds under the current policy.

The phased policy, which will be fully introduced by September 2025, will be worth up to £6,500 a year for working families. The plan will cost £4.9 billion in 2027-28, raising employment by 60,000 that year, as well as increasing the hours worked by mothers already in work.