
Findings from a Pregnant Then Screwed survey of 3,847 parents, who currently have a child in nursery in the UK, reveal the knock-on impact on families if early years providers are forced to increase their fees due to measures announced in the Budget. The survey was carried out between 8-11 November,
It follows a survey by the Early Years Alliance highlighting that the majority of providers plan to increase their fees if the Government fails to mitigate the combined impact of National Insurance increases and minimum wage rises.
According to the Pregnant Then Screwed survey:
- A quarter of parents will need to leave the workforce if their childcare costs increase by 10 per cent.
- Almost a third (29 per cent) say if childcare costs increase by 10 per cent having another child would no longer be feasible. That figure increases to 41 per cent of parents if childcare costs increase by 15 per cent.
- 59 per cent of parents said that a rise in nursery fees would lead to at least one parent in their household reducing the number of hours they work or leaving work altogether.
- 92 per cent of parents feel that early years providers should be exempt from National Insurance increases just as schools are.
Joeli Brearley, founder of Pregnant Then Screwed, said, ‘Labour repeatedly promised to prioritise the early years. They paid lip services to the critical function it plays in supporting a robust economy and improving the outcomes for children. We are seeing no evidence whatsoever that childcare and early years education is being prioritised now that Labour is in Government. Working parents of young children cannot sustain any more cost increases; if the Government does not exempt providers from national insurance increases, the impact could be catastrophic.’