30hrs free childcare could lead to nurseries closing

Nurseries could close their doors due to the 30hrs free childcare

The rise in the free childcare could mean some nurseries face closure; this would see a cut in the number of childcare places offered to 3 and four-year-olds.

Many childcare providers have warned the government that the increase in the free childcare will cause a financial strain, with the possibility of some providers having to close their doors.

A study carried out by the Pre-school Learning Alliance found that 49% of childcare providers who took part in the survey expressed their concern of having to close as a result of doubling the free entitlement.

Other childcare providers are looking into other options, for instance, cutting the number of places available to other age groups, however, will this cause a shortage of childcare places for this age group?

There are many providers still uncertain as to whether they are going to be able to offer the free entitlement.

Neil Leitch, the alliance’s chief executive, said: “These figures are a stark warning of what could happen if the government insists on rolling out an underfunded, under-resourced free entitlement offer.”

He welcomed government plans to increase average early years funding rates but said that with extra costs elsewhere, including the introduction of the “national living wage,” there would still be a funding gap for early years providers.

“The Department for Education seems to be working on the assumption that the sector will simply fall in line and roll out the offer, whether or not the funding is there to support it – but it cannot expect providers to put the sustainability of their businesses at risk to fulfil a manifesto promise that they didn’t make, and that wasn’t properly thought through in the first place,” Leitch said.