Childcare: Costs

(asked on 24th October 2022) - View Source

Question to the Department for Education:

To ask the Secretary of State for Education, whether his Department is taking steps to help tackle increases in (a) nursery and (b) child minding costs.


Answered by
Claire Coutinho Portrait
Claire Coutinho
Secretary of State for Energy Security and Net Zero
This question was answered on 8th November 2022

Education is a devolved matter, and the response outlines the information for England only.

The department is committed to improving the cost, choice, and availability of childcare. We continue to look at ways to make childcare more affordable and to encourage families to use government-funded support they are entitled to.

The department has spent over £3.5 billion in each of the past three years on early education entitlements and continues to support families with the cost of childcare through Tax-Free Childcare and Universal Credit.

At the Autumn Budget and Spending Review 2021, the department also announced additional funding of £160 million in 2022/23, £180 million in 2023/24, and £170 million in 2024/25, compared to the 2021/22 financial year, for local authorities to increase hourly rates paid to childcare providers.

In July 2022, the department announced measures to increase take-up of childcare support and to reduce the costs and bureaucracy facing providers. These plans aim to give providers more flexibility and autonomy, and attract more people to childminding, while encouraging the growth of childminder agencies, enabling greater access to this flexible affordable form of care.

The department also has a campaign underway via the Childcare Choices website to ensure that every parent knows about the government-funded support they are eligible for to save money on their childcare bills. Childcare Choices is accessible at: https://www.childcarechoices.gov.uk/.

The department recognises the impact rising prices are having on many households, businesses, including early years sectors. On 21 September, the Business Secretary announced support through the Energy Price Guarantee and the Energy Bill Relief scheme to support millions of households and businesses with their energy costs over the winter. HM Treasury is reviewing who will be eligible for further support with energy bills after April 2023.

Reticulating Splines