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Parents who claim universal credit are to get more help with the costs of childcare following announcements in today’s Spring Budget.

As part of the government’s plans to encourage people back into work the government will start paying childcare costs up front to those on the benefit.

The current cap on universal credit childcare payments, which has been in place since 2006, will be lifted from £646 a month for a single child to £951, and from £1,108 for two children to £1,630.  

The chancellor, Jeremy Hunt, said his plans are about 'breaking down barriers that stop people working'. He added that he doesn't want 'any parent with a child under 5 to be prevented from working if they want to'.

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