I am a newly registered childminder and was asked to mind my niece. I was told by ofsted that caring for relatived was not childminding and if the mother needed child care tax credits to pay me this would be tantamount to fraud. The result was she went with another childminder, but the arrangement did not work out as she unhappy with the level of care her child received (the minder had taken on 2 under ones and the level of care suffered because of this) She is now looking again for child care and I found this statement of the tax credits site
Relatives
Care provided by a registered childminder who is related to the child is not considered to be qualifying care for the purpose of tax credits if it is provided in the child's own home. Registered childminders should inform Ofsted of any change in their childminding status, for example if they no longer look after non-related children.
If the childcare provider is approved under the Childcare Approval Scheme and provides care to a related child outside of the child’s own home, for example in other domestic premises, it is not qualifying childcare unless the childcare provider is also looking after non-related children.

As I would care for her in my home not hers and because I provide care for non related children surely this statement means that it would be childminding and she could get help with her childcare costs!!!

Does anyone know about this or help me resolve this problem?

My mum looked into this for me as I wanted her to childmind m children and I get tax credits. They said that as long as she looked after other children as well as mine and it was in her house then I could claim tax credits. :) Go for it!

Ive looked after my niece for 7 years and my sister was able to claim as I had other children on my books. As long as you have other minded children or are actively advertising then it is ok. It is done this way to stop grandparents doing the childminders course in order to solely mind grandchildren and the parents claim tax credits.

I never knew this, i have looked after 2 nieces (not sisters) both parents have claimed without a problem, it was lucky really then that i did have children on my books.

I look after my niece for 4 days a week and my sister is able to claim all the tax credits etc.
Marian

thank you very much :) It helps to know others are doing the same it is just a pity that ofsted were so unhelpfull when i enquired the first time round. It seems they do not like childminders caring for relatives and it seems pointless for a childminder to have to turn down business because a relation needs childcare.