The Minister for Women and Equalities, Maria Miller, announced last week that grants of up to £500 will be available from April for anyone setting up a childminding or nursery business.
The money will contribute towards Ofsted fees, legal and insurance costs, mandatory health and safety training courses and equipment for childcare providers, of which there are currently 95,980 registered with Ofsted in the UK.
Of these, 57,149 are childminders, however government research suggests that six out of 10 parents feel that there is insufficient local childcare.
Consequently, the Government hopes to create 6,000 new childcare businesses under the new £2m scheme in an effort to allow mothers to return to work.
Ms Miller hopes that the new scheme will also encourage women to set up their own businesses as, although there are more women in work than ever before, she feels that good quality, affordable and reliable childcare is the key to even more of them being able to work.
The Women and Equalities Minister said that the childcare industry is already a major employer of women and that the scheme will provide huge opportunities for female entrepreneurs to start up and run their own businesses.
Earlier this year, Downing Street launched a review of childcare and childminding to see how it could be made more affordable by cutting red tape.
The review came after the Department for Education released a report showing that almost a quarter of childcare providers in England were making a loss, despite fees being among the highest in the world.
As well as the grant, people who set up childcare businesses will be eligible for advice and mentoring from successful businesspeople in the industry.
Accountant, Jon Stocker, specialises in offering advice, support and guidance on matters involving personal tax planning, business decision-making and business start-ups.