Opinion

Ratios change not the solution to crisis in childcare

2 mins read Early Years
In July 2021, I wrote about the challenges facing early years education, and issued a plea to the government to supercharge a system that is creaking when it should be thriving. One year on, what is the state of the sector?
Denise Hatton, chief executive, YMCA England & Wales
Denise Hatton, chief executive, YMCA England & Wales

As the cost of living continues to soar, not only do facilities cost more to run, but parents find themselves forced to make decisions based on dramatically squeezed incomes, causing many to rethink their childcare options. What has been the government’s answer? A childcare ratio change that has been presented to parents as the solution they have been waiting for, when in reality it will make little to no difference at all to their pockets.

This subject is one that has been covered widely in the news, and YMCA echoes the findings of research published by the Early Years Alliance in May, which outlined that nearly nine out of 10 nurseries and pre-schools in England opposed plans to relax childcare ratios, dismissing government claims that it could result in lower fees being charged.

This “solution” and way of thinking is not nearly enough to make the big changes the sector is crying out for, and still leaves providers forced to decide between raising the fees parents pay and keeping the lights on. It is wrong to present this as a saving for parents when the early years funding rate has not kept pace with inflation over normal years, let alone this year which is set to reach a record high.

Last year, the average rate paid by local authorities where YMCA settings operate left providers operating on the current government funded childcare scheme posting an average loss of £1.07 an hour per child.

One year on from when it was initially outlined by the all-party parliamentary group for childcare and early education, early years settings are still incurring a 20 per cent shortfall in funding across England compared to the cost of provision.

The impact that good quality childcare has on the lives of children – especially in the first five years – is no secret, therefore it comes as no surprise that the priority for childcare settings almost unanimously remains the quality of that service.

However, there are some green shoots to draw on – the government’s recent review and green paper on special educational needs and disabilities specifically seeks to introduce new standards in the quality of support given to children across education, health and care. Let’s hope this will be an opportunity to get children the support they need, in good time, and remove the barriers so often faced.

We need a new vision for the early years, not a sticking plaster, and a bold solution which helps both families and providers to put the interests of children before the costs. Instead of presenting temporary solutions to an escalating problem that risks having a detrimental impact on children during a vital stage of their development, a viable solution to the early years funding crisis must be found urgently.

  • Denise Hatton, chief executive, YMCA England & Wales


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