Conservatives Propose £700m Plan to Extend Free Childcare to High Earners

The Conservative Party has unveiled a proposed £700 million expansion of free childcare support to parents earning more than £100,000 a year, according to The Guardian, in a plan set out ahead of the party's annual conference in Birmingham.

Party leader Kemi Badenoch said those earning above the threshold should not be discouraged from working more hours, framing the proposal as a fix for what she described as a "cliff edge" in the current system, under which free childcare entitlement is withdrawn once a parent's income passes £100,000.

Second major tax-adjacent proposal

The childcare announcement follows an earlier Conservative proposal to abolish most stamp duty, another policy change that would disproportionately benefit wealthier households. Taken together, the two proposals point to a Conservative conference agenda built around reducing the tax and benefit burden on higher earners.

The plan was presented the day before the Conservative conference formally begins in Birmingham, giving it prominence as the party seeks to set the tone for the gathering.

The proposal is likely to draw scrutiny over its cost and distributional impact, given that it is explicitly targeted at households earning well above the UK's median income. Supporters are likely to argue it removes a disincentive to career progression, while critics may question prioritizing additional support for higher earners at a cost of £700 million.

Further details on how the plan would be funded, and when it might be implemented if the Conservatives were to return to government, were not included in the available reporting.