Consultation: Next Steps for Nursery Milk

What is it all about? The Nursery Milk Scheme has been running since the 1940s and currently funds free milk for around 1.5 million children under five years old in 55,000 childcare settings across Britain. Children receive 189ml (1/3 pint) of milk free of charge each day they attend approved daycare facilities for two hours or more.

The government says it is committed to retaining the scheme, but in recent years the prices claimed for milk purchased under the scheme have risen significantly, meaning an increase in the total cost of the scheme.

What are the main points? The consultation is exploring three different options for the future of the scheme. The first option involves continuing with the existing system, something the government says will result in ongoing increases in public expenditure.

Under the second option, there would be a limit on the amount per pint that providers are allowed to claim – the average price per pint in 2011 was 45 pence.

The final option involves issuing e-voucher cards. Under this option, providers would no longer have to pay for milk and then claim reimbursement from the scheme. On joining the scheme, childcare providers would indicate how many children would normally be attending for two hours or more per day. They would be credited with a monthly payment based on the number of pints required multiplied by a fixed reimbursement rate. Local authorities with a number of nurseries would be able to take advantage of economies of scale by entering into a bulk contract to supply all of their nurseries, with monthly payments made to an account that would be ringfenced for the purchase of milk only.

Who can have their say? Local authority chief executives, health professionals, parents, childcare providers and early years settings are all encouraged to respond.

When does it close? 11 September 2012

When will the results be published? The government will publish a summary of the comments made, and agree a way forward as quickly as possible after the end of the consultation.

Any significant changes to the Nursery Milk Scheme in Britain will require the approval of parliament.

http://www.dh.gov.uk/prod_consum_dh/groups/dh_digitalassets/@dh/@en/documents/digitalasset/dh_134633.pdf