Labour urged to reveal plans for childcare funds

Labour has been urged to set out its childcare plans after the shadow Education Secretary Bridget Philipson appeared to suggest a Labour government would shake up Tory proposals which come into effect next week.

The plans, which saw eligible parents of one and two-year-olds offered 30 hours of free childcare a week by 2025, were first announced by the Chancellor Jeremy Hunt in his 2023 spring Budget.

However, Ms Phillipson refused to commit to the scheme, insisting the party is reviewing the system.

It risks creating further confusion among parents and childcare providers grappling to adapt.

Labour is still committed to spending an extra £4bn on the childcare sector, but is reviewing how to best target the money.

The party has recruited Sir David Bell, the former chief inspector of Ofsted, to conduct a review of the childcare system.

Mr Hunt announced an additional £4bn in last year’s Budget to fund the expansion, but providers have warned they do not have enough staff to meet increased demand.

Neil Leitch, chief executive of the Early Years Alliance, which represents 14,000 childcare settings in England, was supportive of Labour’s approach. He said: “Promising parents more and more ‘free childcare’ without tackling the fundamental issues facing the sector would simply exacerbate existing challenges and pile even greater pressure on providers.

“A comprehensive review of the entire early years system is desperately needed.”

Sir Keir Starmer wants to focus the £4bn uplift on childcare “deserts” where early years providers are closing en masse.

Ofsted data showed the number of registered early years providers in England fell by 20,000 between 2015 and 2022, with many parents struggling to find places.

Labour has hinted at plans to encourage primary schools to set up nursery centres in school buildings.

The Education Secretary Gillian Keegan accused the party of stoking “huge uncertainty for working parents set to save £6,900 a year”.

Last month the Governmentlaunched an attempt to salvage its childcare expansion, amid warnings that an extra 50,000 staff will be needed to meet demand.

A Labour spokesperson said: “Labour will not take away families’ entitlements – we want childcare to be affordable, accessible and available.”