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Nearly half of childcare providers struggling to cover costs, DfE finds

2 mins read Early Years
Nearly half of early years providers say that their current income is not sufficient to cover the cost of delivering childcare in their setting, a report from the Department for Education has found.
One in 10 childcare providers say they are likely to close due to cost pressures, DfE finds. Picture : Adobe Stock
One in 10 childcare providers say they are likely to close due to cost pressures, DfE finds. Picture : Adobe Stock - Adobe Stock

One in 10 of all childcare providers asked said they were likely to close as a result of cost pressures, and two per cent were already planning to do so. Some 12 per cent of respondents said they did not know if they were planning to close.

The DfE survey consulted more than 1,800 childcare providers in November last year, and is the fifth in a series of “pulse” surveys that aim to capture evidence about the early years sector.

It found that 47 per cent of early years providers asked said their current income is not sufficient to cover the cost of delivering childcare, rising to 58 per cent among group-based providers.

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