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Childcare: Affordability and Availability
21 February 2023
Lead MP
Ruth Cadbury
Brentford and Isleworth
Lab
Responding Minister
Claire Coutinho
Tags
Social CareEconomyEmploymentForeign AffairsWomen & EqualitiesChildren & FamiliesLocal Government
Word Count: 12388
Other Contributors: 12
At a Glance
Ruth Cadbury raised concerns about childcare: affordability and availability in Westminster Hall. A government minister responded.
Key Requests to Government:
Cadbury questioned whether the Government understands the importance of good-quality affordable childcare and its impact on education outcomes, women's workforce participation, inequality, cost of living, and the economy. She also asked if the Government is considering extending free childcare options for one and two-year-olds and ensuring adequate funding to cover the costs and reopen closed settings. The hon. Member calls for significant investment in early years education and childcare provision, including increased funding rates, free training for nursery staff, removal of business rates for nurseries, and the reintroduction of Sure Start centres. He also suggests introducing a national pay scale for childcare workers as part of the national economic infrastructure.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
The hon. Member Ruth Cadbury expressed deep concern about the crisis in childcare affordability and availability, citing statistics from the Sutton Trust indicating that many children start school lacking basic social skills due to unaffordable or unavailable childcare. She highlighted testimonies from women who have been forced to delay returning to work or work part-time because of childcare costs, which exacerbate gender pay gaps. Cadbury also mentioned the closure and downsizing of nurseries across England compared to more supportive systems in countries like Sweden. Furthermore, she pointed out that 92% of childcare providers fund additional support for children with special educational needs and disabilities out of their own pockets, leading to a significant funding crisis. The hon. Member for Ilford South highlights the impact of austerity on early years education, noting that over 1,300 Sure Start centres have been closed since 2010 and childcare costs have increased by 44%. He cites statistics from Pregnant Then Screwed indicating that 17% of parents have had to leave their job due to childcare costs and 62% work fewer hours because of these expenses. He also mentions the financial pressure on mothers due to low statutory maternity pay, which equates to only 47% of the national living wage in 2021-22.
Carla Lockhart
DUP
Upper Bann
The MP highlighted that the cost of childcare is one of the most pressing issues for working families in her constituency. She cited specific figures from Northern Ireland, showing how high childcare costs leave many families with insufficient income to cover basic needs. Lockhart emphasized the need for work to pay and called for support for grandparents who provide wraparound care without compensation. She also urged the Chancellor to increase the tax-free childcare allowance.
Christine Jardine
Lib Dem
Edinburgh West
In Scotland, only 43% of eligible families are taking up free childcare for two-year-olds due to various problems. The Government should improve awareness and support for this benefit.
The high cost of childcare in the UK compared internationally hinders economic activity and workforce participation, particularly among people from poorer backgrounds who struggle to afford support.
Helen Hayes
Lab
Dulwich and West Norwood
Childcare is vital social and economic infrastructure that helps parents work, provides early education to children, and underpins economic growth. However, the cost of childcare has risen significantly in recent years, with average costs for nurseries and childminders ranging from £124 to £140 per week. The Women's Budget Group estimates that 1.7 million women are being held back from taking on more hours at work due to high childcare costs.
James Grundy
LAB
Leigh
The MP noted that 514 constituents in Leigh have signed a petition to extend the 30 hours of free childcare to one and two-year-olds. He highlighted the economic hardship faced by families, where childcare costs are prohibitive, leading to sub-economic conditions for going back to work. Grundy emphasized the importance of considering childcare as part of infrastructure spending and suggested making provisions for nurseries alongside housing developments.
Jim Shannon
DUP
Strangford
The cost of full-time childcare in Northern Ireland is £170 a week, or £8,000 annually. This burden forces families to rely on grandparents or reduce working hours, plunging them into poverty.
The Government has doubled the money spent on childcare and extended free provision, but there are challenges such as losing 300 childcare settings in the last year due to funding not keeping up with the national living wage increase. The minister needs support from Treasury to increase funding for the 15 and 30 hours of free childcare to make it sustainable.
Munira Wilson
Lib Dem
Twickenham
Ofsted figures reveal that 10,000 childcare providers closed last year, resulting in a net reduction of 4,000. Many closures are in poorer areas where families struggle to afford childcare. The Liberal Democrats contributed significantly to childcare provision during their time in the coalition government. The Department for Education's day-to-day spending, which includes early years funding, is set to be cut by £500 million under last November's autumn statement. This could be very damaging for families.
Siobhan Baillie
Con
Bristol North West
Ms Baillie discussed the challenges of childcare affordability and availability, highlighting that costs are unsustainable for many families. She proposed several recommendations including new childcare credits, expanding family hubs, and provider-side reforms such as stimulating the childminder market. She also suggested considering home child carers to bring more flexibility into the market. The hon. Member for Stroud inquired whether Labour has costed its proposals for full universal childcare from nine months, expressing interest in seeing specific financial details behind such initiatives.
Stella Creasy
Lab Co-op
Walthamstow
For many families, the lack of childcare support between six months and two years is a barrier to employment. At six months old, it becomes impractical for parents to work without proper care. Ms Creasy highlighted the dissatisfaction among parents due to unaffordable and insufficient childcare. She emphasized that children start learning very early on, making investment in early education crucial. The number of women economically inactive due to caring responsibilities has increased by 53,000 in the last year alone, affecting families' financial stability. Only 0.06% of developer contributions have been spent on childcare, indicating a need for better allocation of funds. She called for support from Treasury Ministers and suggested treating childcare as economic infrastructure. Ms Creasy also mentioned that 85% of providers are operating at a loss, underlining the importance of investment to improve the system. Points out that since the scheme began to give parents 20% off their childcare costs in 2017, an average of £2 billion to £3 billion a year has gone unclaimed. Asks what conversations the Minister has had with the Treasury about reclaiming this £17 billion for tackling the cost of childcare.
Tim Farron
Lib Dem
Westmorland and Lonsdale
Tim Farron highlighted the high cost of childcare, making work unaffordable for many parents. He cited examples from his constituency where childcare costs exceeded wages or mortgage payments. Providers are struggling due to insufficient funding, leading to closures and reduced access to services. The maximum monthly cap for childcare through welfare benefits has not increased since 2016.
Tulip Siddiq
Lab
Hampstead and Highgate
Research shows that the covid pandemic widened the inequality gap for ethnic minority and disadvantaged children who missed out on formal early learning. The Government must focus on reversing this trend by ensuring equitable access to quality early years education.
Government Response
Claire Coutinho
Government Response
Congratulated Ruth Cadbury on securing the debate, acknowledged investments of over £3.5 billion annually in childcare entitlements since 2017 and additional funding for local authorities to increase hourly rates paid to providers. Discussed the impact of the 30 hours free childcare entitlement, reaching nearly 350,000 children by January 2022 and saving families up to £6,000 annually per child. Mentioned support for disadvantaged two-year-olds with a take-up rate of 72% in January 2022, benefiting over 1.2 million children since its introduction. Addressed concerns about the cost of living pressures affecting families through measures such as holiday activity fund schemes and family hubs. Emphasized investments to train 5,000 early years staff as special educational needs co-ordinators and introduced reforms for SEN support. Highlighted efforts to address recruitment and retention challenges in the childcare sector and thanked providers for their hard work despite challenging circumstances.
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About Westminster Hall Debates
Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.