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Many governments are considering expanding childcare subsidies, but little is known about the impact of such policies on parent’s labour supply. Exploiting free childcare eligibility rules based on date of birth in a difference-in-differences framework, we compare the effects of offering free part-time childcare and of expanding this offer to the whole school day. Free part-time childcare only affects the labour force participation of mothers whose youngest child is eligible. Expanding from part-time to full-time free childcare leads to significant increases in labour force participation and employment of these mothers, which emerge immediately and grow over the months following entitlement.
Authors
Mike Brewer
Research Fellow University College London
Claire is a Research Fellow at IFS, working on the determinants and consequences of participation in childcare and education for parents and children.
Associate Director
Sarah is an Associate Director in the Education and Skills sector at the IFS, holding a British Academy Postdoctoral Fellowship.
Birgitta Rabe
Working Paper details
- DOI
- 10.1920/wp.ifs.2016.1622
- Publisher
- The IFS
Suggested citation
Brewer, M et al. (2016). Does more free childcare help parents work more?. London: The IFS. Available at: https://ifs.org.uk/publications/does-more-free-childcare-help-parents-work-more (accessed: 19 March 2024).
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