PART 6Income and capital

SECTION 2Income

Treatment of child care charges28

1

This regulation applies where a claimant is incurring relevant child care charges and—

a

is a lone parent and is engaged in remunerative work;

b

is a member of a couple both of whom are engaged in remunerative work; or

c

is a member of a couple where one member is engaged in remunerative work and the other—

i

is incapacitated;

ii

is an in-patient in hospital; or

iii

is in prison (whether serving a custodial sentence or remanded in custody awaiting trial or sentence).

2

For the purposes of paragraph (1) and subject to paragraph (4), a person to whom paragraph (3) applies shall be treated as engaged in remunerative work for a period not exceeding 28 weeks during which he—

a

is paid statutory sick pay;

b

is paid short-term incapacity benefit at the lower rate under sections 30A to 30E of the ActM1;

F39ba

is paid an employment and support allowance;

c

is paid income support on the grounds of incapacity for work under regulation 4ZA of, and paragraph 7 or 14 of Schedule 1B to, the Income Support RegulationsM2; or

d

is credited with earnings on the grounds of incapacity for work F21or limited capability for work under regulation 8B of the Social Security (Credits) Regulations 1975M3.

3

This paragraph applies to a person who was engaged in remunerative work immediately before—

a

the first day of the period in respect of which he was first paid statutory sick pay, short-term incapacity benefitF20, an employment and support allowance or income support on the grounds of incapacity for work; or

b

the first day of the period in respect of which earnings are credited,

as the case may be.

4

In a case to which paragraph (2)(c) or (d) applies, the period of 28 weeks begins on the day on which the person is first paid income support or on the first day of the period in respect of which earnings are credited, as the case may be.

5

Relevant child care charges are those charges for care to which paragraphs (6) and (7) apply, and shall be calculated on a weekly basis in accordance with paragraph (10).

6

The charges are paid by the claimant for care which is provided—

a

in the case of any child of the claimant's family who is not disabled, in respect of the period beginning on that child's date of birth and ending on the day preceding the first Monday in September following that child's fifteenth birthday; or

b

in the case of any child of the claimant's family who is disabled, in respect of the period beginning on that person's date of birth and ending on the day preceding the first Monday in September following that person's sixteenth birthday.

7

The charges are paid for care which is provided by one or more of the care providers listed in paragraph (8) and are not paid—

a

in respect of the child's compulsory education;

b

by a claimant to a partner or by a partner to a claimant in respect of any child for whom either or any of them is responsible in accordance with regulation 20 (circumstances in which a person is treated as responsible or not responsible for another); or

c

in respect of care provided by a relative of a child wholly or mainly in the child's home.

8

The care to which paragraph (7) refers may be provided—

a

out of school hours, by a school on school premises or by a local authority—

i

for children who are not disabled in respect of the period beginning on their eighth birthday and ending on the day preceding the first Monday in September following their fifteenth birthday; or

ii

for children who are disabled in respect of the period beginning on their eighth birthday and ending on the day preceding the first Monday in September following their sixteenth birthday;

b

by a child care provider approved in accordance with the Tax Credit (New Category of Child Care Provider) Regulations 1999M4;

c

by persons registered under F40Part 10A of the Children Act 1989F40Part 2 of the Children and Families (Wales) Measure 2010M5; or

F14d

by a person who is excepted from registration under Part 2 of the Children and Families (Wales) Measure 2010 because the child care that person provides is in a school or establishment referred to in article 11, 12 or 14 of the Child Minding and Day Care Exceptions (Wales) Order 2010;

F7e

by—

i

persons registered under section 59(1) of the Public Services Reform (Scotland) Act 2010; or

ii

local authorities registered under section 83(1),

where the care provided is child minding or day care of children within the meaning of that Act; or

f

by a person prescribed in regulations made pursuant to section 12(4) of the Tax Credits Act; F2or

g

by a person who is registered under Chapter 2 or 3 of Part 3 of the Childcare Act 2006; or

h

by any of the schools mentioned in section 34(2) of the Childcare Act 2006 in circumstances where the requirement to register under Chapter 2 of Part 3 of that Act does not apply by virtue of section 34(2) of that Act; or

i

by any of the schools mentioned in section 53(2) of the Childcare Act 2006 in circumstances where the requirement to register under Chapter 3 of Part 3 of that Act does not apply by virtue of section 53(2) of that Act; or

j

by any of the establishments mentioned in section 18(5) of the Childcare Act 2006 in circumstances where the care is not included in the meaning of “childcare” for the purposes of Part 1 and Part 3 of that Act by virtue of that subsection; or

k

by a foster parent F43or kinship carer under the Fostering Services Regulations 2002, the Fostering Services (Wales) Regulations 2003 or the F33Looked After Children (Scotland) Regulations 2009 in relation to a child other than one whom the foster parent is fostering F44or kinship carer is looking after; or

l

by a domiciliary care worker under the Domiciliary Care Agencies Regulations 2002 or the Domiciliary Care Agencies (Wales) Regulations 2004; or

m

by a person who is not a relative of the child wholly or mainly in the child’shome.

9

In paragraphs (6) and (8)(a), “the first Monday in September” means the Monday which first occurs in the month of September in any year.

10

Relevant child care charges shall be estimated over such period, not exceeding a year, as is appropriate in order that the average weekly charge may be estimated accurately having regard to information as to the amount of that charge provided by the child minder or person providing the care.

11

For the purposes of paragraph (1)(c) the other member of a couple is incapacitated where—

a

F36the claimant’s applicable amount includes a disability premium on account of the other member’s incapacity F30or the support component or F3the other member is a member of the work-related activity groupF31... on account of the other member having limited capability for work;

i

a disability premium; or

ii

a higher pensioner premium by virtue of the satisfaction of paragraph 11(2)(b) of Schedule 3,

on account of the other member's incapacity;

b

the claimant's applicable amount would include a disability premium F16... on account of the other member's incapacity but for that other member being treated as capable of work by virtue of a determination made in accordance with regulations made under section 171E of the ActM6;

F45ba

the claimant's applicable amount would include the support component or F38the other member would be a member of the work-related activity groupF18... on account of the other member having limited capability for work but for that other member being treated as not having limited capability for work by virtue of a determination made in accordance with the Employment and Support Allowance Regulations F27or the Employment and Support Allowance Regulations 2013;

c

the claimant (within the meaning of regulation 2) is, or is treated as, incapable of work and has been so incapable, or has been so treated as incapable, of work in accordance with the provisions of, and regulations made under, Part 12A of the Act (incapacity for work) for a continuous period of not less than 196 days; and for this purpose any two or more separate periods separated by a break of not more than 56 days shall be treated as one continuous period;

F9ca

the claimant (within the meaning of regulation 2(1)) has, or is treated as having, limited capability for work and has had, or been treated as having, limited capability for work in accordance with the Employment and Support Allowance Regulations F37or the Employment and Support Allowance Regulations 2013 for a continuous period of not less than 196 days and for this purpose any two or more separate periods separated by a break of not more than 84 days must be treated as one continuous period;

d

there is payable in respect of him one or more of the following pensions or allowances—

i

long-term incapacity benefit or short-term incapacity benefit at the higher rate under Schedule 4 to the Act;

ii

attendance allowance under section 64 of the Act;

iii

severe disablement allowance under section 68 of the Act;

iv

disability living allowance under section 71 of the Act;

v

increase of disablement pension under section 104 of the Act;

vi

a pension increase F10paid as part of a war disablement pension or under an industrial injuries scheme which is analogous to an allowance or increase of disablement pension under head (ii), (iv) or (v) above;

F26vii

main phase employment and support allowance;

F41viii

personal independence payment;

F5ix

armed forces independence payment;

e

a pensionF25, allowance or payment to which head (ii), (iv), (v), (vi) or (viii) of sub-paragraph (d) above refers was payable on account of his incapacity but has ceased to be payable in consequence of his becoming a patient F22, which in this regulation shall mean a person (other than a person who is serving a sentence of imprisonment or detention in a youth custody institution) who is regarded as receiving free in-patient treatment within the meaning of F11regulation 2(4) and (5) of the Social Security (Hospital In-Patients) Regulations 2005;

f

sub-paragraph (d) or (e) would apply to him if the legislative provisions referred to in those sub-paragraphs were provisions under any corresponding enactment having effect in Northern Ireland; or

g

he has an invalid carriage or other vehicle provided to him by the Secretary of State under section 5(2)(a) of and Schedule 2 to the National Health Service Act 1977 M7or by Scottish Ministers under section 46 of the National Health Service (Scotland) Act 1978 M8or provided by the F48Department of Health, Social Services and Public Safety in Northern Ireland under Article 30(1) of the Health and Personal Social Services (Northern Ireland) Order 1972.

12

For the purposes of paragraph (11), once paragraph (11)(c) applies to the claimant, if he then ceases, for a period of 56 days or less, to be incapable, or to be treated as incapable, of work, that paragraph shall, on his again becoming so incapable, or so treated as incapable, of work at the end of that period, immediately thereafter apply to him for so long as he remains incapable, or is treated as remaining incapable, of work.

F2912A

For the purposes of paragraph (11), once paragraph (11)(ca) applies to the claimant, if he then ceases, for a period of 84 days or less, to have, or to be treated as having, limited capability for work, that paragraph is, on his again having, or being treated as having, limited capability for work at the end of that period, immediately thereafter to apply to him for so long as he has, or is treated as having, limited capability for work.

13

For the purposes of paragraphs (6) and (8)(a), a person is disabled if he is a person—

a

in respect of whom disability living allowance is payable, or has ceased to be payable solely because he is a patient;

F35b

who is certified as severely sight impaired or blind by a consultant ophthalmologist;

c

who ceased to be F12certified as severely sight impaired or blind within the period beginning 28 weeks before the first Monday in September following that person's fifteenth birthday and ending on the day preceding the first Monday in September following that person's sixteenth birthdayF15; F13...

d

in respect of whom personal independence payment is payable, F46has ceased to be payable solely by virtue of regulations made under section 86(1) (hospital in-patients) of the 2012 ActF19; or

e

in respect of whom armed forces independence payment is payable.

14

For the purposes of—

a

paragraph (1) a person on maternity leave, paternity leaveF4, shared parental leave or adoption leave shall be treated as if she is engaged in remunerative work for the period specified in sub-paragraph (b) (“the relevant period”) provided that—

i

in the week before the period of maternity leave, paternity leaveF17, shared parental leave or adoption leave began she was in remunerative work;

ii

the claimant is incurring relevant child care charges within the meaning of paragraph (5); and

iii

she is entitled to statutory maternity pay under section 164 of the Act, F1statutory paternity pay by virtue of section 171ZA or 171ZB of the ActF47F1... statutory paternity pay by virtue of section 171ZA or 171ZB of the Act, F24additional statutory paternity pay by virtue of section 171ZEA or 171ZEB of the ActM9, statutory adoption pay by virtue of section 171ZL of the ActM10, maternity allowance under section 35 of the ActF6, statutory shared parental pay by virtue of section 171ZU or 171ZV of the Act or qualifying support;

b

sub-paragraph (a) the relevant period shall begin on the day on which the person's maternity leave, paternity leave or adoption leave commences and shall end on—

i

the date that leave ends;

ii

if no child care element of working tax credit is in payment on the date that entitlement to maternity allowance, qualifying support, statutory maternity pay, F34statutory paternity payF34F42statutory paternity pay, statutory adoption pay F8or statutory shared parental pay ends, the date that entitlement ends; or

iii

if a child care element of working tax credit is in payment on the date that entitlement to maternity allowance, qualifying support, statutory maternity pay, F23statutory paternity payF23F28statutory paternity pay, statutory adoption pay F32or statutory shared parental pay ends, the date that entitlement to that award of the child care element of working tax credit ends,

whichever shall occur first.

15

In paragraph (14)—

a

qualifying support” means income support to which that person is entitled by virtue of paragraph 14B of Schedule 1B to the Income Support RegulationsM11; and

b

“child care element” of working tax credit means the element of working tax credit prescribed under section 12 of the Tax Credits Act (child care element).