35% of working parents say that childcare costs leave them breaking even or at a loss
By Rachel Lawler
More than a third (35.5%) of parents say that the cost of childcare leaves them breaking even or making a loss when returning to work, according to a new survey from campaign group .
The group surveyed 6,147 parents about the cost of childcare, alongside a parliamentary debate in response to a asking for the 15 hours childcare offer to be extended to parents of children aged nine months and older.
The survey also found that 61.7% of parents work fewer hours, change jobs or stop working altogether because of childcare costs.
The survey found that the daily cost of childcare for children under the age of three is now £53.55 a day, rising to £73.97 in London, with the average worker taking home £465 a week after tax each week.
Provider concerns
Joeli Brearley, founder of Pregnant Then Screwed, said: “The childcare system is not working for parents and we know it’s not working for providers. If we are to change the landscape for women, and parents, we need to provide properly subsidised childcare from nine months.â€
Neil Leitch, chief executive of the Alliance, said: “"Every year, nurseries, pre-schools and childminders see their costs rise as a result of increases in the national living and minimum wages, rent and mortgage costs, insurance premiums and a range of other business costs - and yet, for years now, government funding has failed to keep up with this.
"As a result, many providers have had no choice but to increase parent fees to try and plug this widening funding gap - and it is those parents of younger children, who are not eligible for any government schemes - who have seen the biggest impact.
"While we fully recognise the stress and pressure that these costs place on working families, rushing to call for so-called 'free' childcare schemes to be extended to younger children isn't the answer - because if the government funds this as poorly as they have been funding the existing offers, the early years sector in this country simply will not survive.
"If we truly want to support parents to be able to access affordable, sustainable and quality early years care and education, we as a country must invest what is needed. We hope with the upcoming Budget and Spending Review, the government will take the opportunity to do just that."
Find out more
Cost of childcare rising above the rate of inflation