Addressing delegates at the Conservative Party conference in Manchester this afternoon, the chancellor, Jeremy Hunt, announced plans to increase the national living wage from the current £10.42 per hour, to at least £11 per hour next year, benefitting 2 million workers.
While the Early Years Alliance said it ‘absolutely supports the principle of all staff receiving a fair and decent wage’, unless Government ensure funding for the sector rises in line with wage increases, ‘what should be a positive development could end up marking the final nail in the coffin for early years settings.’
The National Day Nurseries Association (NDNA) said that settings will need help to be able to pay staff the new living wage rate, and if they can’t increase their income through funding or fees, they could be forced to close.
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