Average childcare costs

How much does childcare cost?

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Childcare is an important aspect of raising children, and it can be a significant expense for many families. The cost of childcare in the UK varies depending on several factors, including:

• the type of care;
• location;
• age of the child; and
• hours of care needed.

In England, working parents with children aged nine months to four years old may be able to get 30 hours of free childcare a week. There are different schemes in Scotland, Wales, and Northern Ireland. 

However, costs aside from this are still quite high. The average cost of childcare for a child under two years old in the UK is currently £188.75 per week for part-time care (25 hours, not including funded hours). That's £148.82 per week for full-time care (50 hours, including funded hours). 

However, these figures are just averages. The actual cost of childcare can be higher or lower depending on your individual circumstances.

Parents have various childcare options to choose from. Those include:

• registered childminders;
• day nurseries;
• live-in or daily nannies; and
• informal or free childcare.

Each option comes with its own set of advantages and disadvantages, as well as varying costs. 

For example, if you work full-time and pay for childcare, you may have more income and career opportunities. However, you’ll also have less time with your children and may need to pay for childcare, which can be expensive. 

On the other hand, if you stay at home you’ll be able to care for your children. But, you’ll also have no income coming in or career progression during those years.

PensionBee’s Carer’s Pension Gap report reveals how care moments, such as having children, can impact pension savings. One finding was that for every missed year of paid work, the loss to a pension pot’s an estimated £5,000, on average.

Day nurseries and registered childminders

Day nurseries and registered childminders tend to be the most common forms of formal childcare. Costs vary depending on location and whether you want full or part-time care.

The table below shows the costs of a day nursery and a registered childminder for a child under two. These are the averages in England, as well as inner London for comparison, but costs could vary across regions.

Figures taken from Coram Children’s Charity Childcare Survey 2026. Full-time figures include 30 hours of funded childcare for working parents.

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Nannies and au pairs

You could also look at getting a nanny or au pair. This can be more convenient, providing a more holistic service that often takes place in your own home. Your child might also be more comfortable as it gives them an opportunity to build a relationship with their caregiver.

However, you’ll usually pay more for their services. For example, the average full-time salary for a nanny in 2025 was £41,002, or £15.77 an hour. That would be: 

• £788.50 a week full-time; or 
• £394.24 a week part-time.

For au pairs, rules introduced in 2024 mean that you must pay an au pair at least the UK National Minimum Wage. In 2026/27, that’s £10.85 an hour for 18 to 20-year-olds, and £12.71 for those above 21.

Au pairs usually live with you, so accommodation costs can be taken into account and offset against payment, too. That’s £11.10 a day, or £77.70 per seven-day week.

That means, for an au pair between 18 and 20 years old, the minimum you’d expect to pay a week would be:

• £193.55 for part-time care, including accommodation; or
• £464.80 for full-time care, including accommodation.

Meanwhile, for an au pair who’s 21 or older, each week you’d expect to pay at least:

• £240.05 for part-time care, including accommodation; or
• £557.80 for full-time care, including accommodation.

Informal or free childcare

In the UK, families have choices for early years education and childcare. That includes playgroups or pre-schools which may offer free care for children aged two to four years old. They provide a safe and supportive environment for children to socialise and learn. Children can participate in activities like arts and crafts, music, and storytelling.

After-school club costs

Free community activities run by volunteers or charities are great for kids to learn new skills. Activities include sports clubs, drama groups, and music lessons.

After-school clubs are available for kids aged four to 11 and can be run by schools or private providers. The cost varies depending on the provider, with the average being £69.38 per week in England.

The Education Endowment Foundation estimates the cost at £7 per session per pupil. Low-income families may be eligible for free or reduced-cost options.

Holiday childcare costs

Holiday childcare can come from different sources. For example, that might be clubs, camps, childminders, nannies, or free arrangements.

The average cost of holiday childcare in England in 2025 was just under £179 per week. Universal Credit can cover up to 85% of the actual costs for eligible families. Note that this is paid in arrears so parents will need to find the funds to pay for care first before getting it back.

Tax-Free Childcare can also help pay for holiday childcare costs. Through Tax-Free Childcare, families can receive up to £2,000 a year per child - or £4,000 if their child is disabled - to put towards the cost of childcare.

Find out more on The Pension Confident Podcast

Wondering how raising children impacts your personal finances? Listen to episode 19 of The Pension Confident Podcast and hear from our guests as they discuss wills, life insurance, pension beneficiaries and more. You can also watch the episode on YouTube or read the full transcript.

If you’re interested in learning more about looking after family members, what to do when expecting a baby, or family problems like illness, divorce or bereavement, head to our Family and Care section.

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Risk warning

As always with investments, your capital is at risk. The value of your investment can go down as well as up, and you may get back less than you invest. This information should not be regarded as financial advice.

Last edited: 09-06-2026