The Daily Telegraph - Saturday - Money

Helena Morrissey Britain’s childcare is a mess

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dren unless they receive Universal Credit. From April next year, 15 hours free childcare will be available for children aged two. From next September, the same provision will be available for children aged from nine months. And, from September 2025, that will increase to 30 hours’ free childcare for this age group. All these changes apply only to working parents – not those in education, looking to start their own business or seeking employment.

The Government says “this staggered approach will give childcare providers time to prepare for the changes, ensuring there are enough providers ready to meet demand”, hinting at yet another of today’s problems – a shortage of places. Just 50pc of local authoritie­s have sufficient childcare places for under-twos. Less than one in five have enough places for disabled children.

As for parents, the economics for many childcare providers simply don’t add up. The £204m “extra cash boost” that was announced barely makes a dent in the £1.8bn aggregate funding gap. In the year to March last year, 4,000 providers closed down, with closures disproport­ionately high in deprived areas, while 83pc of remaining nurseries expect to make a loss or just about break even. The expansion of free hours to include younger children without proper funding puts the sector at risk of “collapse”, according to the Early Years Alliance.

It’s a complete mess. This and future government­s must make childcare provision a priority. More than 80pc of women become mothers. Research from Careers After Babies found 98pc of them want to return to work, yet 85pc leave their full-time jobs within three years of having a child. And please, no more reviews on the “mystery” of why there are so few senior women in business until we have sorted this out – we need a national childcare strategy.

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