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Chancellor urged to abolish business rates for nurseries that 'push businesses into making a loss'

Abolishing business rates for nurseries could mitigate rising fees for parents, increase pay for staff, and make settings more sustainable, according to the latest NDNA findings.
The NDNA survey reveals the benefit to nursery businesses if they were exempt from business rates, PHOTO Adobe Stock
The NDNA survey reveals the benefit to nursery businesses if they were exempt from business rates, PHOTO Adobe Stock

Ahead of the Autumn Statement tomorrow (17 November), the National Day Nurseries Association (NDNA) surveyed providers to understand what the impact would be on nurseries if they no longer had to pay business rates. Survey respondents represented 782 nurseries across England.

A total of 61 per cent said they would increase staff salaries if they no longer had to pay business rates, while more than 49 per cent would use the money to cover losses in the business, and over 4 per cent would reduce childcare fees.

Nurseries in England receive an 80 per cent discount on business rates as not-for-profit organisations. Small nurseries are exempt if their valuation falls below the £12,000 threshold.

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