Context: Jay and Kay are a couple with two young children, Mae, aged 9 months and Faye, aged 2. Kay has been on maternity leave and is due to go back to work full time in the local library. Jay is employed full time in a clay workshop. Both parents are in their mid-thirties and live in Grays, Essex. They are looking into arranging childcare once Kay starts work again.

Both children could attend a local nursery full time nearby from Monday to Friday, at a cost of 528 per week for both. Kay also receives child benefit, equating to 1,827.80 per year.

2.3 If Jay decides to take the part-time option, this would reduce his net annual income to 9,264. Kay would continue to receive her full-time earnings, which equate to 17,534.16 per year after tax and National Insurance contributions. Mae and Faye would then only attend nursery on a part-time basis at a cost of 264 per week for both of them.

Using the Tax credit calculator where appropriate, calculate the couples total tax credit entitlement and their net household income after childcare costs. (4 marks)