The report by Capacity, a new public interest body offering strategic support to organisations developing children's services, says private nurseries are "too important" to be a second or third resort for creating provision to meet the goals of the Government's 10-year childcare strategy.
Commissioned by the National Day Nurseries Association (NDNA), it urges genuine partnership with private day nurseries, capitalising on the sector's business skills to boost sustainability of all provision.
"Childcare, particularly in disadvantaged areas, is part of a broader canvas of opportunity for families and the skills of business are much needed," said Capacity director Margaret Lochrie.
While many private nurseries already have a broader social role, acting as sources of informal support and advice, they could be encouraged to adopt social enterprise models, the report adds.
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