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NW Survey: Budget adds to pressure and puts expanded offer ‘at risk’

Rises to employer National Insurance Contributions and the national minimum wage from April could force cuts to headcounts and places. By Catherine Gauntand Katy Morton
Survey shows many settings will be hit by the recent Budget PHOTO Adobe Stock

Findings from a Nursery Worldsurvey suggest Budget measures could deepen the sector’s longstanding recruitment and retention crisis, affecting settings’ ability to take part in the expanded hours offer and putting the policy at risk.

Early years providers that responded to our snap survey told us they are having to put a pause on recruitment, reduce pay rises and employee benefits, and in some cases make redundancies, as a result of rises to employer National Insurance Contributions (NICs) and the national minimum wage from next April.

Asked how they feel about the measures announced in the Budget and the impact they may have on their setting/s, the majority (84 per cent) said they are ‘very concerned’, 13 per cent are ‘slightly concerned’, and the remaining respondents are either ‘unconcerned’ or ‘positive’.

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