- Grandparents who help with childcare for children under 12 may be eligible for Specified Adult Childcare Credits (SACCs) to enhance their state pension and fill gaps in their National Insurance records.
- Between 2016-17 and 2024-25, 202,037 SACC applications were made, with approximately 79 per cent (159,116) approved by HMRC, according to figures obtained by wealth manager Quilter.
- Applications saw a notable increase from 29,967 in 2022-23 to 42,964 in 2023-24, a rise attributed to media coverage that raised awareness of the scheme.
- The credits function by transferring weekly National Insurance credits from a child benefit recipient to an eligible family member, provided the parent or main carer does not need the credits themselves.
- While these credits are valuable for securing a full state pension, especially for those with career breaks, a significant number of applications are rejected, leading to calls for clearer guidance on eligibility.
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