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Daycare Trust childcare costs survey — — Pre-school Learning Alliance comment

NEWS RELEASE

30 January 2007

Daycare Trust childcare costs survey — Pre-school Learning Alliance comment

Steve Alexander, Chief Executive of leading early years charity the Pre-school Learning Alliance commented on the Childcare Costs survey produced by the Daycare Trust, which revealed today that costs continue to rise above the rate of inflation.

“The Daycare Trust’s survey provides further evidence that there is still a long way to go if the Government’s ten-year strategy and its aims to provide flexible, affordable and accessible childcare is going to be a reality for all children and families.

Not only are the costs of childcare rising by more than twice the rate of inflation, they are almost twice as much as the rise in average earnings. Parents cannot be expected to pay fees at this increased level and it is inevitable that many will be forced to consider whether there is any financial benefit in continuing to work.

The findings that 67% of Children’s Information Services (CIS) said that parents reported a lack of affordable childcare in their area and that finding suitable childcare is even more difficult for parents of disabled children, is particularly worrying. Given the forthcoming duty on local authorities to ensure sufficient childcare to meet the requirements of parents in their area, the Government needs to consider how the issues highlighted in the report are likely to impact on this duty.

Furthermore, while childcare has become harder for many parents to afford, childcare providers are also facing tough challenges around their long-term sustainability. In 2006 more than half of the 20 largest childcare providers reported making pre-tax losses of nearly £20million.1

The Pre-school Learning Alliance joins the Daycare Trust in calling for more long-term investment in supply side funding and for local authorities to be adequately funded and resourced. While we also want to see the free entitlement to early education increased to 20 hours a week for 48 weeks and extended to two-year olds but stress that providers must be enabled to deliver the entitlement in ways which safeguard successful business models.”

ENDS

For further information please contact:

Kate Summerside
Pre-school Learning Alliance
T: 020 7697 2502
Out of hours press calls: 07956 499621
E: Kate Summerside

Notes for Editors:

  1. 1Laing and Buisson Children’s Nurseries UK Market Report 2006
  2. The Pre-school Learning Alliance is the largest voluntary sector provider of quality affordable childcare and education in England.
  3. Through direct provision and its membership of 15,000 nurseries, sessional pre-schools and parent and toddler groups, the Alliance supports over 800,000 children and their families in England. The Alliance also develops and runs family learning programmes, offers information and advice, runs acclaimed training and accreditation programmes and campaigns to influence early years policy and practice.
  4. For information about the Pre-school Learning Alliance, visit our website: www.pre-school.org.uk
  5. A copy of the Daycare Trust’s Annual Childcare Costs survey is available from www.daycaretrust.org.uk
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