Why is ratio change a bad idea?
The main reason for this change is to reduce the cost of childcare to parents. HOWEVER, there is NO (and I repeat, no) evidence that increasing the number of children will have any impact on the cost of childcare.
How could there be when we are already losing an average of £1.07 per hour per child, and 64 per cent are operating at a loss. In fact, the research from the Early Years Alliance said 78 per cent of nurseries would not increase their fees this year or limit the increase, if the funding offered by the government actually covered costs. So, what actually would help parental fees, is an increase in funding. In fact, I cannot think of many winners of ratio changes, except maybe the odd shareholder and director.
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