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Early years settings sound alarm as they face clamp down on charging for extras amid rising costs

Nurseries and childminders across the country are threatening to cap the number of funded early years places available to parents in response to rising National Insurance, minimum wage increase and stricter rules on charging for extras, according to a new survey.
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More than nine in ten providers surveyed said they would be raising their fees for non-funded Government hours, with eight in ten saying they would introduce or increase optional charges.

The research follows recent changes to Government guidance, which clamps down on nurseries charging 'voluntary extras' to parents, including, for example, nappies, meals, snacks, and trips.

The Department for Education has updated the guidance in line with a recent High Court judgment, which ruled that charges must not be mandatory or a condition of accessing a funded place.

More than 1,100 providers took part in the Early Years Alliance survey, which found that six in 10 of them are likely to cut the number of three-and four-year-old funded places they offer, or opt out of offering funded places for this age group entirely.

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