Thousands of childcare providers closed this year, government figures reveal

Fiona Simpson
Wednesday, May 12, 2021

More than 2,000 childcare providers closed in the first four months of this year, latest government data shows.

Tulip Siddiq has questioned the government's promise to prioritise early years. Picture: Parliament UK
Tulip Siddiq has questioned the government's promise to prioritise early years. Picture: Parliament UK

Between 31 December 2020 and 30 March 2021, 2,087 childcare providers stopped being registered with Ofsted.

The figure includes 949 childminders, 933 providers working from their own home, 203 childcare providers operating in “non-domestic premises” and two operating in “domestic premises”.

The statistics are calculated using the number of providers who have resigned their Ofsted registration or had their registration revoked or suspended.

The Labour Party has said that the government’s promise to “prioritise early years” as the UK recovers from Covid-19, made in yesterday’s (11 May) Queen’s Speech, will “ring hollow” for staff and families affected by the closures.

Tulip Siddiq MP, shadow early years minister, said that this “rhetoric does not match reality”.

The MP for Hampstead and Kilburn also pointed out that the government’s early years announcements on family hubs and child health made as part of Andrea Leadsom’s early years review will not make up for these closures of early years providers and the loss of more than 1,000 Sure Start children's centres since 2010.

She said: "Labour has repeatedly warned that a decade of Conservative neglect and the impact of the pandemic could force thousands of early years providers to shut their doors forever. This worrying data shows that our worst fears are being realised.

“The government’s rhetoric on early years has not been matched by reality and today’s promises will ring hollow for the thousands of parents struggling to find affordable early years education, childcare and support.

“Ministers need to start listening to families and come forward with a proper plan to rebuild this essential infrastructure after a decade of neglect."

Purnima Tanuku, chief executive of National Day Nurseries Association (NDNA) said: “These latest nursery closure figures are worrying for the sector but also for families who rely on childcare places so they can return to the workplace.

“During the pandemic, thousands of childcare providers including hundreds of nurseries have been forced to shut down. Their income simply did not cover their increasing costs. This means that thousands of families are now unable to access local places for their children or they have faced disruption to their usual routine.

“Children have faced enough upheaval over the past year and early years professionals are working very hard to support them with high quality education and care. But they can only support them if they are financially sustainable.

“Education recovery must start in a child’s earliest years because that’s where the investment can make the biggest impact and is crucial for improving children’s outcomes.”

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