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Around 4,000 school-based nursery places to be created from September, government says

jessica.gibson_EYA — Mon, 30 Jun 2025 13:49:07 +0000

Around 4,000 school-based nursery places to be created from September, government says

by Shannon Pite

Roughly 4,000 new early years places will be delivered across 200 new or expanded school-based nurseries from this September, the government has announced.

The news follows the recent announcement of almost £370m in funding to support the future of the school-based nursery programme.

The Department for Education (DfE) has confirmed that further school-based nurseries are set to launch in the autumn as the next phase of the early entitlement expansion is rolled out, taking the total to 300.

The DfE has said that the initiative will help to improve access to early education and childcare for working parents. However, the Alliance has warned that a number of private, voluntary or independent (PVI) settings running on school grounds have been forced out so schools can use government funding to open their own school-based early years setting in the space.

Education secretary Bridget Phillipson said: “Every corner of the early years sector has a vital role to play, and the progress made so far, in the face of an enormous inherited delivery challenge, is testament to their dedication to children and families up and down the country.

“This September is only the beginning. This government has a clear plan for change to get tens of thousands more children school ready each year so that every child, from any background, gets the opportunities they need to get on in life.”

Neil Leitch, CEO of the Early Years Alliance, said: “While we fully recognise that there is an urgent need to boost the number of early years places, we are both disappointed and frustrated that government policy continues to focus almost exclusively on school-based nurseries, especially given this provision accounts for a relatively small proportion of places.

 “With providers from across the sector collectively delivering nearly 1.3 million places to under-fives, it’s clear that the addition of 4,000 places – while welcome – is unlikely to have a significant impact on accessibility overall. What’s more, the extent to which school-based settings will be willing and able to meet the needs of families requiring care and education outside of normal school hours, or during the holidays, remains unclear.  

“With private and voluntary providers delivering the vast majority of early years places – particularly those taken up by younger children – it’s clear that the government simply cannot continue to overlook and undervalue this vital part of the sector.”

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Government early years policy at risk of “embedding inequality”, Alliance CEO warns

jessica.gibson_EYA — Fri, 27 Jun 2025 15:05:13 +0000

Government early years policy at risk of “embedding inequality”, Alliance CEO warns

by Shannon Pite and Jess Gibson

Current government policy is a risk of undermining its aim to ‘break down barriers to opportunity’ at the earliest possible opportunity, Alliance CEO Neil Leitch warned at the annual virtual conference.

The event, titled No child left behind: putting the needs and voices of children at the heart of decision-making, took place virtually on Thursday 26 June.

The warning comes ahead of the final phase of the expansion of the early years entitlement in September, a policy set to put further strain on early years providers. According to an Alliance survey from March 2025, six in 10 providers are considering reducing or cutting three- and four-year-old funded places altogether due to financial pressures and insufficient government funding. Meanwhile, recent research from an Early Education and Childcare Coalition survey found evidence that support for children with special educational needs and disabilities is being cut back, with nearly half of settings either reducing intake for children with additional needs or considering doing so from September.

In his speech, Neil argued that current policy often does more to embed, rather than tackle, early inequality. He critiqued early entitlements, as an example, due to the fact they are currently almost exclusively available to ‘working families’, saying:

“Imagine a world where you had to earn a certain amount of money before your child could attend primary or secondary school five days a week. A world where, if you lost your job and struggled to get a new one, your child would only be allowed in school for two and a half days a week as a result.

“There would be a public outcry.

“And, yet, that is exactly what happens in the early years – where what’s written on a parent’s wage slip is somehow allowed to determine their child’s access to early education.”

Neil also drew attention to the significant challenges currently facing the sector, mentioning the unsustainable financial pressures many settings are experiencing as a result of the combination of national insurance rises, minimum wage increases, and recent updates to charging guidance.

He then went on to note recent statistics showing that record numbers of families are reliant on baby banks, a quarter of children under four don’t have enough to eat, and a third of children live in poverty – a figure set to rise further over the next five years.

The conference also featured keynote addresses from Dr Melernie Meheux, educational psychologist, certified play therapist and BPS Division of Educational Psychology Committee member, and Frank Cottrell-Boyce, Waterstone’s Children’s Laureate.

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New report reveals private equity backed nurseries contributing to ‘care deserts’ in poorer areas

jessica.gibson_EYA — Fri, 27 Jun 2025 14:48:14 +0000

New report reveals private equity backed nurseries contributing to ‘care deserts’ in poorer areas

by Jess Gibson

Low early education and childcare availability in England’s most deprived areas is inhibiting choice and quality, according to a report by University College London (UCL) researchers.

The report, funded by the Joseph Rowntree Foundation (JRF), found that the total number of registered nurseries in England declined from 24,000 to 22,500 between 2018 and 2024. This fall occurred mainly among not-for-profit settings (19%), which are most likely to be in deprived areas.

It also identified that settings backed by private equity (PE) – which usually consist of large nursery chains – are more likely to open in wealthier areas to maximise profit, while not-for-profit settings that are usually operated by charities, local community organisations or educational establishments are declining at a faster rate in deprived areas than in their wealthier counterparts.

Despite the overall decrease in PE-backed providers, UCL’s research notes that their sector share has increased from 2% to 5% due to the decline of not-for-profit nurseries in the same period. Meanwhile, it also found that for-profit settings – which are usually privately-owned but not PE backed – form the bulk of options in deprived areas, with a 10% increase between 2018 and 2024.

Additionally, fewer Ofsted ‘outstanding’ settings are located in deprived areas, which the researchers say suggests that PE backed and for-profit settings invest more quality of care and education in more affluent areas.

UCL’s report concludes that lower-income families in deprived areas have fewer options, leading to ‘care deserts’, characterised as an area with three or more children for every licensed early years place. Research by New Economics Foundation in 2024 found that, within the cohort of most deprived local authorities, over 80% were also classed as care deserts, compared to less than 5% in the wealthiest.

The research calls on the government to support local authorities in managing the market to incentivise providers to open in more deprived areas and avoid what it calls “monopolisation” of the early years sector.

Lead author Dr Antonia Simon (IOE, UCL’s Faculty of Education & Society) said: “High-quality early childhood education and care has been linked to improving the life chances of all children, especially disadvantaged children such as those from poorer homes. However, the distribution of openings and closures is uneven, particularly for more deprived neighbourhoods, meaning that those who need this care the most cannot access it and are now living in ‘care deserts’.

“Our previous study showed that the early years sector is characterised by acquisitions, mergers and takeovers, with many providers operating with huge amounts of debt. Additionally, a growing proportion of these providers are PE backed large companies and chains, driven by profit-making. This research also finds a link with PE, with the fewest openings in the most deprived areas, suggesting these providers may avoid operating in these areas. If this continues, families in deprived areas will not have a choice about where to send their children.”

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IFS warns popularity of early years entitlements could leave spending much higher than initially forecast

jessica.gibson_EYA — Thu, 26 Jun 2025 10:20:05 +0000

IFS warns popularity of early years entitlements could leave spending much higher than initially forecast

by Shannon Pite and Jess Gibson

Government spending could be higher than expected if current levels of take-up for the early years entitlement remain, according to the Institute for Fiscal Studies (IFS).

According to a new IFS briefing, government spending on the early entitlement expansions was almost £440 million (28%) higher than had been budgeted for, largely driven mostly by an almost 50% increase in planned spending on the entitlements for under-twos. It warns that staying on this same trajectory, spending in 2027-28 could end up £1 billion higher than was expected when the new entitlements were announced in March 2023.

The briefing argues that upcoming increases in early years spending announced at the recent Spending Review – which will see spending on new entitlements for working families rise by £1.6 billion by 2028-29 – will ease, but probably not eliminate, future government funding pressures. It adds that “DfE will have to make difficult choices, either within the childcare budget or trading off this spending against other priorities”.

Christine Farquharson, associate director at the IFS, said: “New childcare entitlements are proving very popular indeed. Spending in 2024-25 has already been revised upward by £440 million – 28% more than originally forecast. This left the Department for Education on track for a major hole in its budget in later years; once new entitlements are fully rolled out, spending could easily end up £1 billion higher than had been expected in March 2023.

“The Spending Review announced a significant top-up to funding for these new childcare entitlements, with around £640 million more spending in 2028 than had been implied by the March 2023 plans. But it still leaves the country spending more than it had originally planned on new childcare entitlements. If that’s because there are more parents in paid work, it could be very good news indeed for growth – but it is too early to tell whether (or to what extent) that really is the cause of higher spending.”

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Alliance publishes new essay collection on supporting children and families most in need

jessica.gibson_EYA — Wed, 25 Jun 2025 10:01:23 +0000

Alliance publishes new essay collection on supporting children and families most in need

by Shannon Pite

The Early Years Alliance has today published an essay collection, entitled No child left behind, exploring the ways in which an early years sector where all children are given the best possible start in life can be built and sustained.

Featuring contributions from a wide range of early years experts, including Nobel-Prize winning academic James Heckman and Dame Cathy Nutbrown, the collection reflects on current sector challenges and outlines the long-term vision of a system underpinned by fairness and equality. The essays span a variety of topics, including supporting children with SEND, embedding anti-racist practice in settings, family support, digital literacy and supporting the early years workforce.

The collection is free to download at www.eyalliance.org.uk/no-child-left-behind-essay-collection.

Commenting, Neil Leitch CEO of the Early Years Alliance, said: “At the heart of the Early Years Alliance is the belief that all children, regardless of background or circumstance, should be given the best possible start in life. And yet we know that despite positive rhetoric on the power of early intervention over the years, the gap between those children in need of support and their peers continues to widen.

“At a time when there is so much political focus on breaking down barriers to opportunity, this essay collection provides a hopeful and unashamedly ambitious vision of how this could be achieved in practice. We are grateful to each and every one of the contributors for sharing their thoughts, ideas and reflections on this vital topic, and hope that this collection will be the start of many important discussions to come.”

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New analysis estimates funding needed to improve early years quality and inclusion

jessica.gibson_EYA — Tue, 17 Jun 2025 15:56:41 +0000

New analysis estimates funding needed to improve early years quality and inclusion

by Shannon Pite

New analysis conducted by London Economics and commissioned by charity Save the Children has modelled the cost of various changes to the current early years model which, if implemented, could “improve inclusion and quality” in the sector.

This includes:

paying all staff at least the Real Living Wage, or London Living Wage (£13.85) if in London, and maintaining pay differentials for higher paid staff (£674.8 million)

expanding the ‘working families’ entitlement offer to single parents with a disability, single parent carers, and those in training and education (£513.9 million)

providing introductory level SEND training for all staff (£43.7 million)

providing early years child development training for those with no relevant early years qualifications (£6.8 million)

expanding the current early entitlement offer from 38 weeks to 48 weeks per year (£490 million)

The analysis builds upon previous London Economics modelling, which found that government funding for the early entitlement offers was £388 million less than the cost to providers of delivering places.

Save the Children is calling on the government to invest in high-quality, inclusive early years provision as a route to reducing child poverty, increasing parental employment rates and meet the target for 75% of reception-age children to achieve a good level of development by 2028.

Ruth Talbot, policy and advocacy adviser for Save the Children UK, said: “To meet the prime minister’s target of having 75% of children ‘school-ready’ by 2028, the UK government must invest in the childcare workforce now and pay and qualifications is a current blind spot. We already fall behind European counterparts in the pay and status of early years workers and this cannot continue.

“A lot of the financial uplift from the Treasury to enable fair wages would reap rewards as this money would predominantly be spent in a childcare worker’s local economy.”

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New national nanny register launched to raise standards and improve safety

jessica.gibson_EYA — Tue, 17 Jun 2025 14:04:49 +0000

New national nanny register launched to raise standards and improve safety

by Jess Gibson

A voluntary national register of nannies has been launched by the National Nanny Association (NNA) alongside the MP for Keighley and Ilkley, Robbie Moore.

The register aims to improve safety, increase standards and provide what the NNA has described as “long overdue recognition” for nannies in the UK, who are currently not required to register with Ofsted, as other early years settings are. This means that there is no requirement for nannies – or anyone working with children in a home-based role – to have an enhanced DBS check.

To sign up to the register, nannies must provide evidence of the following:

A Level 3 or above in childcare and education, or a Level 3 in home-based childcare and education.
An enhanced DBS check registered on the Update Service.
A valid paediatric first aid certificate, completed within the last three years.
A Level 2 or 3 food hygiene certificate, completed within the last three years.
Public liability insurance specific to nannies.

Upon successfully joining the register, nannies will receive a certificate that is valid for a year and a pin badge.

NNA co-founder Allie Bell said of the new register: “Our vision is a future where every child receives exceptional care, and every nanny is equipped to thrive. The National Nanny Register is an ultimate milestone in raising standards and building trust in our industry.”

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Alliance calls for ban on schools closing PVI early years settings to take up government school-based nursery funding

jessica.gibson_EYA — Tue, 17 Jun 2025 10:39:21 +0000

Alliance calls for ban on schools closing PVI early years settings to take up government school-based nursery funding

by Zoë Varenne and Jess Gibson

Primary schools that have forced private, voluntary or independent (PVI) early years settings to leave their premises to apply for school-based nursery funding should not be allowed to participate in the government scheme, the Early Years Alliance has said.

During the recent Spending Review, Chancellor Rachel Reeves confirmed that the government is pushing ahead with its plans to deliver 3,000 new or expanded school-based nurseries – which it says are at the “heart” of its Plan for Change – confirming £370m in funding for the scheme over the next four years.

This follows an initial phase in which 300 school-based nurseries received £37m in government funding to repurpose spare space for new or expanded nursery provision.

While the government has said that school-based nurseries are intended to supplement – rather than replace – PVI provision, the Alliance has received numerous case study reports of primary schools terminating leases with PVI providers operating on their premises to open their own provision and apply for funding under the government scheme.

Earlier this year, the Alliance filed a Freedom of Information request to the Department for Education (DfE), asking how many of the primary schools awarded school-based nursery funding have had PVI providers operating on their premises over the past two years, and how many had served notice on PVI providers operating on their premises over the same period. However, the DfE has since confirmed that it does not hold that information.

Commenting, Alliance CEO Neil Leitch said: “The government has said time and time again that school-based nurseries are intended to work alongside, and not replace or displace, private and voluntary settings – and yet, as the response to our Freedom of Information request shows, this simply isn’t being monitored.

“We have heard far too many reports of high-quality PVI providers, many of whom have previously enjoyed positive relationships with their local school – being told at very little notice that they must find new premises because the school in question now wants to apply for government funding to open their own provision.

“With the full rollout of the school-based nursery scheme now confirmed by government, it is absolutely critical that safeguards are put in place to ensure that any new school-based provision is not at the expense of existing PVI provision. This means ensuring primary schools who have served or intend to serve notice on PVI providers in order to apply for school-based nursery funding are not eligible to do so.

“We’re clear that PVI settings are an absolutely critical part of the early years sector, especially at a time when the government is looking to significantly expand provision for younger children.

“We therefore urge policymakers to work with us to review and improve the school-based nursery application process to ensure that the ongoing rollout of this policy does not put a single PVI setting at risk.”

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New Early Education and Childcare Coalition research reveals impact of rising early years costs on families

jessica.gibson_EYA — Tue, 10 Jun 2025 12:46:24 +0000

New Early Education and Childcare Coalition research reveals impact of rising early years costs on families

by Jess Gibson

A third of parents have quit their job or considered quitting in the past twelve months due to cost of early education and childcare, new research from the Early Education and Childcare Coalition has revealed.

The polling, undertaken by More in Common for the Early Education and Childcare Coalition (EECC), found that continued high early years fees have led to 15% of parents with a child under five to quit their job in the last 12 months, while a further 20% have considered doing so.

Meanwhile, one in three (32%) parents polled have had to borrow money from loved ones or taken out a credit card or loan, while one in five (22%) have had to cut back on food shopping as a result of fees increasing in the last 12 months. 

The coalition is therefore calling on the government to urgently review funding levels, which the EECC says are “failing to keep up with rising costs in the sector”.  

Sarah Ronan, director of the EECC, said: "From September, the government will be purchasing 80% of childcare in England, yet it continues to pay providers less than it costs to deliver those hours. If providers are to stay open, they have to pass on that shortfall to parents with fee increases. The reality is that continued underfunding is pushing up costs for parents, holding down wages in the sector, and driving staff shortages. We’re hearing from providers who are scaling back, turning away funded places, or even considering closure because the numbers just don’t add up.  

“At the moment, it feels like the government is giving to parents with one hand and taking with the other. The government’s focus on early years is the right one, but if it is serious about putting money back in the pockets of working families and supporting children to thrive, it must properly fund the sector and urgently review a broken model that fails to reflect real costs."  

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Early years settings to cap funded hours from September to cut costs, new poll finds

jessica.gibson_EYA — Tue, 10 Jun 2025 12:34:29 +0000

Early years settings to cap funded hours from September to cut costs, new poll finds

by Jess Gibson

One in 10 early years settings in England warn they are at risk of closure in the next two years due to rising costs, while more than a third of settings are limiting or considering limiting the number of government-funded hours they offer, according to a new poll conducted by the Early Education and Childcare Coalition (EECC).

The EECC poll of 816 early years settings across England also reports that 18% of settings are currently operating at a loss, while 20% have had to use financial reserves to continue running, 27% have paused plans to recruit more staff – with 21.4% of providers considering this in September – and 9% say they are likely to close permanently in the next two years.

The poll also found evidence that support for children with special educational needs and disabilities is being cut back, with nearly half of settings either reducing intake for children with additional needs or considering doing so from September.

The survey results support new modelling carried out by Frontier Economics, which has found that measures from the recent budget – including the National Insurance contributions rise – have significantly increased costs for providers, with settings serving disadvantaged children most affected.    

The EECC is calling for the government to use the upcoming Spending Review to properly fund providers to take account of these rises, describing it as the “final chance for government” to act before September’s rollout of the next stage of the early entitlement funding programme.

EECC director Sarah Ronan said: “These results of this survey make for bleak reading. The early years sector has been one of the hardest hit by the Autumn Budget because it has a huge proportion of staff on or close to the minimum wage. We welcome the increase in minimum wage, which is desperately needed, but government funding is simply not enough to cover this and the rise in NICs. In essence, childcare’s biggest customer is short-changing the sector, and it will be families that pay the price. 

“Many providers are telling us that they are operating at a loss, freezing recruitment, and accepting fewer children with SEND. One in ten are likely to close their doors for good in the next two years. And that will hit the wider economy as more parents will be forced out of work. 

“Crucially, over a third are saying they have either limited the number of government funded hours they can offer or are about to do so. And this comes just as demand for childcare is set to peak in September when working parents of nine-month-olds become entitled to 30 hours of provision.  

“The upcoming Spending Review is the final opportunity for the government to guarantee the success of September’s roll out and properly fund providers to take account of their recent Budget measures.” 

Neil Leitch, CEO of Early Years Alliance, said: “We in the sector have long warned that the combined impact of national insurance increases and minimum wage rises would place significant – and unsustainable – financial pressure on early years providers, and so we welcome this comprehensive independent analysis from Frontier proving just that.

“While the government continues to point to increases in early years pupil premium and the new early years expansion grant as proof of its support for providers, we’re clear that these measures, while welcome, don’t come close to addressing the additional costs that settings are now incurring.

“At a time when government is looking to increase funded places, these cost pressures risk achieving the exact opposite, as more and more providers are forced to limit their participation in the entitlement schemes, if not withdraw altogether – and in the worst cases, close permanently.

“We welcome the government’s positive rhetoric on the importance of the early years, but the fact is that warm words won't bridge the widening funding gap. We therefore urge the government to work with the sector to ensure providers receive the investment they urgently need to deliver quality, affordable and accessible provision, both now and in the future."

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