Commons Sense

House of Commons · Ministerial Statement

School-based Nursery Capital Grants 2025-04-02

02 April 2025 · 45 other contributors

Opened by The Secretary of State for Education Bridget Phillipson

Summarised by AI from the official record, so it can contain mistakes.

At a glance

The Secretary of State for Education raised concerns about school-based nursery capital grants 2025-04-02 in the House of Commons. A government minister responded. Other MPs also contributed.

Key points

  • Labour Government is delivering free breakfast clubs, curriculum reform, and social care improvements
  • Investing 37 million for 300 primary schools to open and expand nurseries
  • Aiming for 3,000 school-based nurseries by the end of the term, providing up to 6,000 more nursery places starting in September

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Government Statement

Today I am updating the House on the roll-out of nurseries in our primary schools. This Labour Government is delivering promises to parents and children, including free breakfast clubs, curriculum reform, and improvements in social care. We are investing £37 million for 300 primary schools to open and expand nurseries, aiming for a total of 3,000 school-based nurseries by the end of our term. This initiative will provide up to 6,000 more nursery places starting in September this year, aligning with the final stage of the 30-hour childcare entitlement. The funding is part of £8 billion invested in early years education despite fiscal challenges inherited from the Conservatives. The policy aims to start children on the track to success by offering crucial support in their earliest years and improving access for those in disadvantaged communities. This contrasts sharply with previous Conservative promises that lacked funding or a clear plan.

Other contributors (45)
  • Laura Trott Con Sevenoaks

    Question

    While welcoming the investment, Laura Trott criticises the government's failure to compensate nurseries for national insurance increases and questions how the locations of school-based nurseries were chosen. She also asks if these nurseries will mimic the school timetable or offer year-round provision.

    Minister reply

    The minister did not provide a direct answer in this excerpt but is likely to respond by emphasising her government's commitment to early years education and addressing concerns about national insurance increases.

  • Robert Jenrick Con Sevenoaks

    Question

    Asked about the legal basis of the announcement

    Minister reply

    We are investing an extra £2 billion in early years entitlements, taking the total to £8 billion. We have also secured a £75 million expansion grant and compensation for public sector employers.

  • Amanda Martin Lab Portsmouth North

    Question

    Asked about delivery of the September 2025 childcare expansion

    Minister reply

    Parents will see considerable savings, ensuring that all children get the best possible start in life. Portsmouth South secured a school-based nursery this time around.

  • Munira Wilson LD Twickenham

    Question

    Asked about rates paid for free entitlements and impact of national insurance hike

    Minister reply

    We will continue to keep the rates under review. We believe transparency in charging is important, but we are working closely with providers to deliver the places needed.

  • Peter Dowd Lab Bootle

    Question

    Welcomed the statement and thanked her for it

    Minister reply

    I agree that actions speak louder than words. We thank all staff working in education for their vital work.

  • Julian Lewis Con New Forest East

    Question

    Asked about timeline to get from 300 to 3,000 new arrangements

    Minister reply

    This is the first phase and we will roll out the remaining nurseries over the course of this Parliament.

  • Katie White Lab Leeds North West

    Question

    Welcomed the announcement and asked about number of children affected

    Minister reply

    This initiative will create 6,000 new childcare places, most of which we expect to be available from September 2025.

  • Manuela Perteghella LD Stratford-on-Avon

    Question

    Asked about steps to address recruitment and retention crisis

    Minister reply

    We are working closely with the sector to ensure that we have sufficient staff in place. We will continue to support schools to deliver high-quality education for under-threes.

  • Grahame Morris Lab Easington

    Question

    Will my right hon. Friend outline the Government’s timetable for expanding the scheme further, so that parents across his constituency and others can look forward to an improvement in childcare provision?

    Minister reply

    This announcement is an important first step in our ambitious plan, but there is more to come throughout this Parliament. We will set out more details on wider reform later this year.

  • Julia Lopez Con Hornchurch and Upminster

    Question

    What urgent action is the Education Secretary taking to prevent a meltdown in childcare, given that nurseries are struggling due to rising business rates, national insurance and wage bills?

    Minister reply

    We have set out £8 billion in funding alongside the biggest ever uplift to the early years pupil premium and a £75 million expansion grant. We are also working closely with private and voluntary providers and childminders to deliver places promised by the Conservative party.

  • Natasha Irons Lab Croydon East

    Question

    Does my right hon. Friend agree that accessible childcare is essential support for all families, and can she outline how today’s announcement will help to boost household incomes?

    Minister reply

    This funding supports a record proportion of children arriving at school ready to learn and puts more money directly back into parents’ pockets—the figure being £7,500.

  • Helen Maguire LD Epsom and Ewell

    Question

    What are the Government doing to support community-based options such as one o’clock clubs and Sure Start centres?

    Minister reply

    We recognise the importance of family support services in early years, especially for our youngest children. We will do more in the months ahead to ensure good access to both education services and health and care services.

  • Damien Egan Lab Bristol North East

    Question

    Can the Secretary of State reassure families in Bristol North East and across the country that this announcement is just the start, and that under a Labour Government, we will see lots more nursery places opening?

    Minister reply

    Parents in my hon. Friend’s constituency will benefit now from the expansion of school-based nurseries, but this is just the start. We are working closely with private and voluntary providers to deliver places promised by the Conservative party.

  • Alison Bennett LD Mid Sussex

    Question

    Is today’s announcement giving with one hand to deprived urban areas, while taking away with the other by hammering nurseries in rural villages with increased national insurance contributions?

    Minister reply

    The list of schools announced today covers constituencies both urban and rural. We recognise the need for adequate provision in rural communities and would be happy to respond if she shares further information.

  • Mary Glindon Lab Newcastle upon Tyne East and Wallsend

    Question

    Does my right hon. Friend agree that investing in nurseries in deprived areas is essential to give very young children a good start to their education journey?

    Minister reply

    All the evidence shows that where gaps open up early, they endure into the long run, impacting children’s ability to do well at school and get good GCSEs. Investing in nurseries in deprived areas will make the biggest difference.

  • Vikki Slade LD Mid Dorset and North Poole

    Question

    How are we going to ensure that community settings benefit, rather than just seeing toddlers transferring into school settings with other settings closing?

    Minister reply

    Many schools will create early years places throughout the year in partnership with private or voluntary providers. We believe this represents an important step in supporting child development.

  • Jenny Riddell-Carpenter Lab Suffolk Coastal

    Question

    Does my right hon. Friend agree that this new scheme will directly benefit rural constituencies at a time when access to nursery provision is even more challenging for families, including working families?

    Minister reply

    We believe there is an important role for school-based provision in expanding early years opportunities, creating places that support children and their families.

  • Question

    Why are private voluntary or independent nurseries not more central to expansion plans, given that they face significant funding challenges and increased employer NICs?

    Minister reply

    We recognise the critical role these providers play in supporting children and families. However, we also see an important role for school-based nurseries, especially in disadvantaged communities where schools already have a higher market share. We are committed to expanding high-quality early years provision through both types of providers.

  • Matt Rodda Lab Reading Central

    Question

    Can you elaborate on the benefits for disadvantaged children, including those with English as a second language?

    Minister reply

    Children from disadvantaged backgrounds have the most to gain from high-quality early years education. Our announcements will allow us to provide more places and expand entitlements, alongside the big uplift in the early years pupil premium.

  • Paul Kohler LD Wimbledon

    Question

    Will you meet me and constituents to discuss funding issues faced by private nurseries due to new restrictions?

    Minister reply

    My hon. Friend's Parliamentary Under-Secretary will be happy to meet the hon. Gentleman to further discuss these issues. We have increased the early years pupil premium by 45% and provided a £75 million expansion grant.

  • Sally Jameson Lab/Co-op Doncaster Central

    Question

    What revenue funding will nurseries receive?

    Minister reply

    Parents in the constituency will have access to expanded childcare entitlements, and we are ensuring that places are available. The investment will allow parents to take up these offers.

  • Callum Anderson Lab Buckingham and Bletchley

    Question

    Does the Secretary of State agree it is vital for parents in both urban and rural communities not to have to choose between family and job?

    Minister reply

    I agree. We are working tirelessly, like Paula Shaw at Great Horwood Church of England school, to support children and families. This includes rolling out extra places and supporting all children's opportunities.

  • Paul Foster Lab South Ribble

    Question

    Does the Secretary of State agree that this announcement offers a huge opportunity for young children's development and puts money back into parents' pockets?

    Minister reply

    My hon. Friend is a great champion for South Ribble, and we are enabling all our children to have a brilliant start in life by putting more money back into families through breakfast clubs and primary-based nurseries.

  • Ian Lavery Lab Blyth and Ashington

    Question

    Can the Secretary of State commit to rolling out further schemes in socially deprived areas like Blyth?

    Minister reply

    My hon. Friend can be assured that we will continue with national roll-outs, including school-based nurseries which serve communities experiencing disadvantage.

  • Chris Vince Lab/Co-op Harlow

    Question

    How will this benefit children and parents in Harlow, and could there be more provision?

    Minister reply

    Jerounds primary school's work is amazing. This programme puts more money back into parents' pockets by providing affordable childcare options and giving extra choices for working hours.

  • Luke Akehurst Lab North Durham

    Question

    Will parents in Craghead benefit from cheaper childcare through new school-based nurseries?

    Minister reply

    Parents across County Durham will be able to access higher-quality, more affordable childcare. This is especially crucial for communities that have the most to gain from high-quality early years education.

  • Deirdre Costigan Lab Ealing Southall

    Question

    Does this announcement, along with yesterday’s national living wage increase, demonstrate Labour delivering on making work pay?

    Minister reply

    I agree. This programme supports working families and puts more money back into their pockets while ensuring high-quality early years support for all children.

  • Terry Jermy Lab South West Norfolk

    Question

    May I invite the Secretary of State to Swaffham to see the positive impact on rural communities?

    Minister reply

    My hon. Friend raises an important point about ensuring high-quality childcare alongside housing development. We will consider visiting when these provisions are up and running.

  • Peter Dowd Lab Bootle

    Question

    Does the Secretary of State agree that the new provision will transform high-deprivation places, where 46% of the population already have high levels of debt?

    Minister reply

    Yes. The expanded provision at Portway in his constituency will make a big difference by supporting parents to take on work opportunities and providing more support for children from disadvantaged backgrounds.

  • Sean Woodcock Lab Banbury

    Question

    Does she find it hard, as I do, to take lectures from the Conservative party when it comes to the provision of childcare?

    Minister reply

    Yes. It is this Labour Government who are getting on and delivering the childcare places that parents across our country want to see, including in my hon. Friend’s constituency of Banbury.

  • Tristan Osborne Lab Chatham and Aylesford

    Question

    Does the Minister agree that this investment, coupled with that given by Labour councils across the country through school streets programmes, will create a true learning environment that is fit for purpose?

    Minister reply

    I join my hon. Friend in welcoming the important contribution that Horsted, in his constituency, will make as part of this scheme.

  • James Asser Lab West Ham and Beckton

    Question

    Does the Secretary of State agree that nurseries provide opportunities not only for children but for adults, and can she assure us that, as the programme is rolled out, the focus will remain on areas that have not only educational needs but economic needs and other forms of deprivation?

    Minister reply

    The expanded provision at Portway in his constituency will make a big difference by supporting parents to take on work opportunities and providing more support for children from disadvantaged backgrounds.

  • Perran Moon Lab Camborne and Redruth

    Question

    Does the Minister agree that new childcare places in new and expanded nurseries, including at Treleigh primary school, will help children from the most deprived backgrounds have the best start in life?

    Minister reply

    On average, 40% of the overall gap between disadvantaged 16-year-olds and their peers has already emerged by the age of five. That is why it is critical that we invest in the early years to give more children the best possible start in life.

  • Sam Carling Lab North West Cambridgeshire

    Question

    Does the Secretary of State agree that these new nurseries will make a real difference to families in my constituency and across the country by saving them up to £7,500?

    Minister reply

    Yes. Today’s announcement will support parents to save up to £7,500 a year, putting more money back into their pockets.

  • Josh Newbury Lab Cannock Chase

    Question

    Does my right hon. Friend agree that school-based nurseries set children up perfectly for going into reception?

    Minister reply

    I agree with my hon. Friend. It eases the transition from nursery to reception and sets up children to succeed.

  • Dave Robertson Lab Lichfield

    Question

    Can I put on record my thanks to these schools, and can I ask if the Secretary of State will join me in visiting schools and celebrating the work they do?

    Minister reply

    I will do my very best to visit Lichfield to see the fantastic provision and, critically, to see the brilliant work my hon. Friend is doing to champion local schools and nurseries in his constituency.

  • Markus Campbell-Savours Lab Penrith and Solway

    Question

    Could the Secretary of State share with the House how these plans will help parents get into work?

    Minister reply

    This announcement will make a big difference in his constituency and in constituencies across the country. From the applications to the scheme, we saw real demand.

  • Josh Simons Lab Makerfield

    Question

    Can I thank the Secretary of State for that, and ask her about the timeline for rolling out the scheme to further schools that I represent in my constituency?

    Minister reply

    This is the first phase of our announcement. We will draw on the experience of the schools that take part in the first phase as we take forward future phases.

  • Dan Aldridge Lab Weston-super-Mare

    Question

    Will the Secretary of State join me in thanking so many early years practitioners across my constituency and the UK for their tireless work to give our children the best start possible?

    Minister reply

    I congratulate the amazing early years workforce and our education workforce in Weston-super-Mare and across our country. They are the people who make the biggest difference for children.

  • Question

    I am proud that Smallthorne primary academy in my constituency has been selected for a new school-based nursery. Does the Secretary of State agree with me that these nurseries are vital not only for childcare but also for helping with school-readiness and closing developmental gaps?

    Minister reply

    My hon. Friend is absolutely right about the difference that early years provision makes, both in those crucial early years and throughout children’s lives. I am delighted that Smallthorne and many other communities will benefit from high-quality early years education which is critical to their life chances.

  • Question

    I am sure the children of Pondhu primary school are delighted with the investment in the nursery. Given that St Austell Central has become the second most deprived ward in Cornwall, what impact does the Secretary of State expect this to have on the life chances of children living in deprived families?

    Minister reply

    Children from more disadvantaged backgrounds will benefit the most from high-quality early years education when it starts earlier. The overall gap between disadvantaged 16-year-olds and their peers has already emerged by age five, which is why we need to support these children and families at a younger age.

  • Question

    I thank the Secretary of State for joining me in Peterborough earlier this week. Will she join me in congratulating Ben Erskine and the staff team at Fulbridge academy, who excel in giving great education to students? Does she agree that with leadership, a relentless focus on standards, and the resources announced today, absolutely nothing can hold back the ambition of working-class communities?

    Minister reply

    I was delighted to visit Fulbridge and meet the brilliant staff team. There should be no ceiling on children’s ambition and aspiration in working-class communities, and I know my hon. Friend will continue to champion his constituency to deliver a country where background is no barrier to getting on in life.

  • Bracknell Lab

    Question

    I warmly welcome the news that Uplands primary school in Sandhurst has been awarded funding to expand its nursery. Will the Secretary of State set out what this means for Labour’s commitment to delivering top-quality childcare for families across my constituency and the country?

    Minister reply

    This Government aims to ensure families can access high-quality childcare support, important for both work choices and children’s development. We have set an ambitious target to make sure a record number of children are school-ready when they start school, and high-quality early years provision is critical in achieving this.

  • Question

    I welcome the statement and all the Secretary of State’s work in this area. I particularly welcome that St Stephen’s in my constituency will be home to one of these nurseries. Does she agree that delivering on these aims is a real sign that our Government are delivering for children and their parents?

    Minister reply

    My hon. Friend is absolutely right, having campaigned for years to support working parents with high-quality early years provision and childcare. The £37 million investment, including at St Stephen’s in his constituency, will make a big difference to working parents across the country.

Shadow Comment

Laura Trott

The shadow secretary of state criticised the government's announcement, highlighting that while £37 million is being invested in nurseries, the government is taking away half a billion pounds by failing to compensate nurseries for national insurance increases. This could force many nurseries to close or raise their prices, impacting parents and staff. She emphasised the previous Conservative plan that had already halved childcare costs for under-threes and argued that the current Labour plan is shutting nurseries due to unaffordable staffing costs from the jobs tax. Laura Trott demanded clarity on the financial impact of the jobs tax and questioned how school-based nursery locations were chosen, expressing concerns about equity in compensation between different providers.

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