Childcare arrangements still dictated by banks despite last-minute tweaking

Working parents in mortgage distress will still have their childcare arrangements dictated by banks despite some last-minute tweaking of the personal insolvency guidelines.

Following a political backlash over plans in the draft rules allowing banks to force parents to give up childcare, the Government has softened the language in the final version, which is to be published today.

While offering a more reasonable approach, banks will still be able to tell parents to move their children to care that is cheaper or in a different location in order to help parents meet debt obligations.