Childcare in London: costs and funded hours

London childcare is the dearest in Britain. Whether your family gets the big government help depends less on your income than on the fine print of your visa.

The short version

Without funding, 25 hours a week at a London nursery for an under-two averaged £238 in inner London and £217 in outer London in 2026 [1].
Working parents in England can get 30 funded hours a week, 38 weeks a year, for children from 9 months to school age [2][3].
That 30-hour scheme needs British or Irish citizenship, settled or pre-settled status, or permission to access public funds. Most Australians on work or Youth Mobility visas don't qualify [3].
Every 3 and 4-year-old in England gets 570 free hours a year (15 hours a week in term time). GOV.UK lists no immigration test for it [4].
Tax-Free Childcare adds £2 for every £8 you pay, up to £2,000 per child a year, but has its own eligibility checks [5].

What London childcare actually costs

The Coram Childcare Survey is the main yardstick. Its 2026 figures show London well above the England average [1].

Weekly price, 25 hours (2026)	Inner London	Outer London	England
Nursery, under two	£238.01	£216.94	£188.75
Nursery, age two	£222.18	£213.99	£174.85
Childminder, under two	£226.39	£199.09	£155.28
After-school club (age 5–11)	£68.07	£72.66	£69.38

These are averages for families who aren't using the working parent entitlement [1]. Full-time care (50 hours) costs roughly double. Some central London nurseries charge a lot more than the average.

Coram notes that the funded hours only cover 38 weeks of the year. Families who do qualify can face larger bills in the school holidays, or higher weekly costs if the nursery stretches the hours across the year [6].

Nurseries, childminders and nannies

Day nurseries take babies to school age, usually open about 8am to 6pm, and close for a week or so at Christmas. Many have long waiting lists.
Childminders look after a small group of children in their own home. They're registered with Ofsted, often cheaper and more flexible, and a good fit for younger babies.
Pre-schools and school nursery classes usually run in term time only, often mornings or school hours, for children from two or three.
Nannies work in your home. You become an employer, with payroll, tax and pension duties. A nanny share with another family splits the cost.

Ofsted inspects nurseries and childminders. Since late 2025 it uses report cards with five grades, from "exceptional" to "urgent improvement", instead of single-word judgements like "outstanding" [7]. Read the report rather than just the headline.

Funded hours: who gets what

England has two separate funded schemes, and they work differently for visa holders.

The universal 15 hours for 3 and 4-year-olds

All 3 and 4-year-olds in England can get 570 free hours a year, usually taken as 15 hours a week over 38 weeks [4]. It starts the term after your child's third birthday: 1 January, 1 April or 1 September. It runs until they start Reception, or until compulsory school age if that's later [4]. GOV.UK doesn't attach an immigration condition to it, and you claim it directly through your nursery or childminder.

This is the one most Australian families on a visa can use.

Childcare for working parents (up to 30 hours)

The bigger scheme gives up to 30 hours a week of funded childcare for 38 weeks a year, for children from 9 months up to school age [2][3]. To qualify, GOV.UK says [3]:

You (and any partner) must work, or be about to start work, and each expect to earn at least £2,643.68 over the next three months if you're 21 or over. That's the National Minimum Wage or Living Wage for 16 hours a week.
Neither of you can expect adjusted net income over £100,000 in the tax year. Foreign income counts.
You both need a National Insurance number.
The applicant must be a British or Irish citizen, have settled or pre-settled status, or have permission to access public funds.

That last point is the catch. Most Skilled Worker, Youth Mobility and other temporary visas come with a "no recourse to public funds" condition. If that's printed on your status, you're usually not eligible for the 30 hours. Check your eVisa conditions before you build a budget around it.

If you're married to or partnered with a British citizen, the British partner may be able to apply, as the rules look at the applicant's status. Read the GOV.UK eligibility page carefully, as both partners still need to meet the work and income tests [3].

You can apply from when your child is 23 weeks old, and you must reconfirm your details every three months [2]. Councils publish termly deadlines. Missing one means waiting a term.

Tax-Free Childcare

Tax-Free Childcare is an online account. You pay money in, and the government tops up £2 for every £8 [5]. The maximum top-up is £500 per child every three months (£2,000 a year), or £1,000 every three months (£4,000 a year) for a disabled child [5]. It can be used for children aged 11 or under (16 or under if disabled), with a provider signed up to the scheme.

Like the 30 hours, you usually need to be working, and you must reconfirm every three months [5]. It uses the same kind of eligibility checks as the working parent scheme, so the immigration status test generally applies here too. If you're on a visa with no recourse to public funds, assume it's off the table until you get settled status, and check GOV.UK before applying.

How it compares with the Child Care Subsidy at home

Australian parents are used to the Child Care Subsidy, which Services Australia pays straight to the centre. Since January 2026, the 3 Day Guarantee means eligible families get at least 72 hours of subsidised care a fortnight, and up to 100 hours in some cases [8].

	Australia	London
Main subsidy	Child Care Subsidy, income-tested	30 funded hours for working parents, plus Tax-Free Childcare
Who misses out	Families above the income limits	Many temporary visa holders; anyone over £100,000
Universal entitlement	Preschool programs vary by state	15 hours for all 3 and 4-year-olds [4]
Paid how	Subsidy paid to the provider	Funding code given to provider; top-up account

The CCS has residency requirements, so you can't claim it for childcare in London. And unlike home, where the subsidy mostly follows your income, in London your visa status decides most of it.

Securing a place, step by step

Good London nurseries fill up early, especially baby rooms.

Start looking during pregnancy or as soon as you know your start date in London. Many nurseries run waiting lists of several months or more.
Shortlist by commute. Near home is usually better than near work, especially if you rely on the Tube.
Visit at least three. Ask about ratios, staff turnover, meals, nappies, settling-in sessions and holiday closures.
Read the Ofsted report for each one [7].
Ask what funded hours cost in practice. Many London nurseries charge for meals, consumables or extra hours on top of funded time.
Check your eligibility for the 30 hours and Tax-Free Childcare on GOV.UK before you sign [3][5].
Pay the deposit to hold the place, and get the fee schedule in writing.
Claim the 15 universal hours the term after your child turns three [4].

Your borough council's Family Information Service lists local providers, holiday clubs and funded places. It's a good first stop.

Want a real-world view of nurseries in Clapham, Wandsworth or Ealing? Ask in Cooee UK, our Facebook group for Australians in the UK. Plenty of Aussie parents have sat on those waiting lists.

Childcare in London: nursery costs, funded hours and Tax-Free Childcare