Those cared for by grandparents display less ability in relationships with other children, but tend to have better vocabularies than those in daycare, the University of London's Institute of Education has found.
The findings are based on the outcomes of 5,097 children involved in the ongoing Millennium Cohort study, at the age of three.
Kirstine Hansen, the Millennium Cohort study's research director, said the better vocabulary children develop as a result of being cared for by grandparents could be due to grandparents spending more time talking to young children one-to-one and correcting their grammar.
The institute will shortly be publishing the next set of findings from the study, which will examine outcomes for the children at the age of five.
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