Parents facing rising childcare costs and drops in available nursery places
A charity has said families will 'struggle to make ends meet'
Last updated 28th Mar 2022
The combination of rising childcare costs and lack of available nursery places is leading to parents being squeezed, according to charity Coram Family and Childcare.
The charity's annual survey on childcare costs have shown that nearly two-thirds (57%) of local authorities have seen childcare providers raise their prices.
At the same time, 30% said providers have increased the number of children looked after by each staff member.
On what this is costing families, the survey revealed that the average price of a part-time childcare place (25 hours) a week for a child aged under two in a nursery is ÂŁ138.70 across Britain and ÂŁ124.41 a week to hire a childminder.
When it comes to full-time childcare, for 50 hours of care a week for a child aged under two in a nursery, the cost is on average ÂŁ269.86 across Britain and ÂŁ237.28 per week for a childminder.
The survey revealed that these average prices for childcare have risen 2.5% from last year.
READ MORE: Financial pressures for families ahead as cost of living crisis hits
Coram Family and Childcare's survey also showed that childcare providers are also struggling to remain sustainable, with 14% of local authorities reporting that at least a quarter of their group-based providers are facing severe financial difficulties.
Childcare availability has also fallen sharply, with 57% of local authorities reporting having enough childcare places available for children under two, down from 72% in 2021.
As well as this, only 59% of providers reported having enough childcare available for parents working full-time, again down from the previous year when the availability was 68%.
With Chancellor Rishi Sunak due to deliver the spring statement on Wednesday, the charity is is calling for a boost to support for childcare by increasing the maximum amount of childcare costs paid under Universal Credit, along with support for upfront costs.
Ellen Broome, managing director of Coram Family and Childcare, said: "Many parents, up and down the country, will be locked out of work or struggle to make ends meet as childcare prices continue to go up and the availability of places goes down.
"And the more vulnerable children will miss out the most on this boost to their development and outcomes.
"High quality childcare is key social infrastructure, it helps parents work and narrows the gap between poorer children and their more affluent peers."
She said with "families' bills skyrocketing", the charity is urging the Chancellor "to make sure that childcare and children's life chances are at the very heart of his announcements."