A Year On, Childcare Sector Seriously Questions Preparedness for Entitlement Increase

Two toddler girls playing with toys at home, kindergarten or nursery

A Year On, Childcare Sector Seriously Questions Preparedness for Entitlement Increase 

It is almost a year since the Chancellor of the Exchequer, Jeremy Hunt’s surprise announcement that the government would be dramatically increasing the ‘free’ childcare entitlement, with the aim of expanding the 30 Hours scheme to all children aged between 9 months and 5 years by 2026. While the sector has always supported increasing provision, grave doubts were raised about its capacity to deliver the scheme. Funding levels have never met what the sector feels would be adequate levels and a staffing crisis has rumbled on for years. Still, the government signalled it was aware of the challenges and was serious about overcoming them.

Twelve months later, however, the same questions remain. Although new funding rates have been published and even cautiously welcomed in some quarters, most providers remain concerned that they will not be sufficient to deal with demand. Moreover, almost no action has been taken on staffing, with the exception of a pilot incentivisation scheme that began earlier this month. Even so, some providers are expressing tentative optimism. Larger settings with additional space and recruitment capabilities are anticipating expanded provision, but they make up only a small proportion of the market. Smaller single setting providers, especially those in deprived areas, are much less sanguine.

Research from the NDNA and the Early Years Alliance, published this month shows a split sector, with only a half to two thirds of providers expecting to be able to offer funded places to two year olds when the new entitlement kicks in next month. The good news is that according to the NDNA’s research for most, there is scope to expand, with only 6% saying it will not be possible at all. However, staffing and lack of grant funding are major roadblocks. If the government is determined to make a success of this scheme, in a critical election year, it will need to give its implementation urgent attention.