As we come to the end of 2024, I’m struck by how it feels as though so much has changed – and yet, nothing has. The roll-out of increased funded childcare hours in theory represents a growing recognition of the importance of early education. But in reality, the policy is largely aimed at encouraging more parents back into the workforce, and carries the same challenges of the previous policy.
For working families, the funded expansion is transformative. Yet, for providers, the challenges remain. Although there has been some increase in funding, providers are expected to absorb the impact of rising wage costs, the upcoming changes to National Insurance and other pressures without clarity that rates will keep pace with the real costs of delivery. Meanwhile, recruitment and retention issues persist, leaving providers to continue investing in people, resources and infrastructure without the assurance that policymakers understand or will address the true cost of delivery.
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