Jeremy Hunt’s proposal to expand free childcare for children between one and two years old has been met with concerns from experts, who warn that the policy will be an “utter disaster” without proper investment for nurseries.
While parents welcome the proposal, they are worried that it will not come into full effect until September 2025, leaving many families without funded childcare places.
The phased policy will be fully introduced by September 2025, according to the Chancellor.
Under the current system, parents of three and four-year-olds in England are eligible for 15 hours of free childcare per week, and working parents with children in the same age group are eligible for 30 hours of free childcare.
With the new policy, all eligible households in England with children as young as nine months, where all adults are working at least
16 hours a week, will be entitled to 30 hours a week of free childcare.
The policy will be phased in, with the offer of free childcare available to working parents of two-year-olds from April 2024, covering around half-a-million parents, but initially limited to 15 hours.
From September 2024, the 15-hour offer will be extended to children from nine months, and the full 30-hour offer will be available to working parents of children under five from September 2025.
The Government will provide £4.1 billion by 2027-28 to expand the 30 hours a week of free childcare for working parents of younger children in England.
Ministers will also provide £204 million in 2023-24, increasing to £288 million in 2024-25, to raise the hourly funding rate paid to childcare providers in England to deliver the existing free hours offer.
The Chancellor said the Government will pilot incentive payments of £600 for childminders joining the profession, and £1,200 if they join through an agency.
Mr Hunt said the Government will fund schools and local authorities to increase the supply of wraparound care so all school-age parents can drop their children off between 8am and 6pm.
However, early years leaders are concerned that nurseries and childminders could struggle to deliver additional places for younger children if the funding provided by the Government does not cover increasing costs.
A number of early years providers have reported struggling financially, with some nurseries forced to close in recent years, due to funding pressures.
Recruitment and retention challenges in the childcare sector could also make the policy hard to deliver.
The Government will change minimum staff-to-child ratios from 1:4 to 1:5 for two-year-olds in England, but the change will be “optional,” according to the Chancellor.
The Department for Education ran a consultation last year on the proposals, which were widely criticised across the early years sector.
The Chancellor has faced pressure to act on concerns about the cost of childcare, and he acknowledged that the country has “one of the most expensive systems in the world.”
The multi-billion-pound policy is expected to bring another 60,000 parents into work by 2027/28.
The Government estimates around 435,000 people in England with a child under three do not work due to caring responsibilities.
In conclusion, the proposed policy to expand free childcare for children as young as nine months in England has received mixed responses.
While parents welcome the proposal, there are concerns about the policy’s implementation due to the lack of proper investment and funding for nurseries and childminders.
The phased policy will be fully introduced by September 2025, with the offer of free childcare available to working parents of two-year-olds from April 2024.
The Government has announced funding to expand the 30 hours a week of free childcare for working parents and raise the hourly funding rate paid to childcare providers.