Features

OVERVIEW: Childcare and Early Years Providers Survey 2010

Provision Working With Parents
The 2010 early years providers survey, carried out by the Department of Education, points to greater losses and more vacancies but many of this year's findings may be affected, in part, by changes to the sampling process. Here are some of the main findings:
SAMPLE

Providers surveyed The survey divides providers in to two categories: ‘childcare providers’ (full daycare, sessional, out-of-school, childminders and children’s centres) and early years providers (nursery schools and primary schools both with nursery classes and with reception classes only).
Sampling Three factors affected the sampling in the 2010 survey: changes to Ofsted’s classification of registered childcare providers; a change in the available sample of school-run out-of-school provision; and a new sampling approach for the early years group. The sampling method may have affected recent trends for all types of provider, except childminders.
Interviews 1,802 with full daycare providers; 1,314 with sessional providers; 1,034 with after-school clubs; 1,091 with holiday clubs; 900 with childminders; 1,738 interviews with senior managers of children’s centres; 795 with primary schools with nursery and reception classes; 711 with primary schools with reception only; and 196 with maintained nursery schools.

CHILDREN

Total The number of children attending early years provision (including maintained) rose by 9 per cent from 2009 to 3,262,700 in 2010.
Rise and fall Children attending full daycare, after-school clubs and holiday provision rose by 13 per cent. However, the estimated number of children attending daycare in children’s centres fell by 26 per cent to 53,500. This is due to a decline in the average number of children attending per setting (down from 73 to 69) and fewer children’s centres offering childcare.
Number of attendees per place Full daycare: 1.3 (same as in 2009)

PROVIDER NUMBERS

Total 105,100
Full daycare 16,700 (up from 14,100 in 2009)
Sessional providers 8,300 (up from 7,800 in 2009)
Childminders 47,400, down 7 per cent since 2009 and 21 per cent since 2007
Out-of-school settings 17,200, of which 9,500  were after-school clubs (+20 per cent), and 7,700 holiday clubs (+20 per cent)
Children’s centres offering full daycare 800 (down from 1,000)
Maintained 15,700

REGISTERED PLACES

Total 2,755,800 (including maintained), representing an increase of 13 per cent on 2009.
Full daycare 716,700 places (up from 647,800)
Childminders 245,100 places, down from 262,900
Sessional provision 251,000 (up from 227,900)
Maintained schools 825,500 places; nursery schools 25,300 places (down from 29,600)
Out-of-school 368,100 in after-school clubs; 349,400 in holiday clubs – the increases are partly due to the sampling method.

VACANCIES

Total 440,800 across all types of provider.
Full daycare 122,700 (28 per cent; 8 vacancies per setting)
Children’s centres 4,000 vacancies (6 places per setting), a decrease on previous years and in part due to fewer children’s centres offering full daycare in 2010 Out-of school Holiday clubs had the largest amount of spare capacity (11 vacancies per setting), while after-school clubs averaged 7 vacancies.
Sessional providers 5 vacancies per setting (up from 3 2009).
Childminders Despite the fall in childminder numbers, the estimated number of vacancies in childminder settings increased from 59,400 in to 61,500.
Nursery schools 3,000 (compared to 2,500 in 2009)
Primary schools with nursery and reception 8 vacanies per setting, compared to 6 in 2009.

FEATURES OF PROVISION

Opening hours 8h 37m in full daycare (down from 9h 01m in 2009; 5h 45m in after-school clubs (up from 4h 02m); 9h 04m in holiday clubs (up from 8h 46m)
Written business plan 68 per cent of full daycare, but this is a sharp drop (down from 80 per cent) in 2007. ‘The decline,’ notes the report, ‘is, perhaps, surprising during a period of economic turbulence, when planning is likely to be more necessary.’ The proportion for childminders was 24 per cent; for sessional providers, 59 per cent; and for children’s centre providers, 89 per cent.
Expansion plans full daycare – 15 per cent of full daycare providers; 16 per cent of childminders; 24 per cent of after-school clubs.
Mean number of places 43 for full daycare (down from 46); 31 for sessional providers (up from 29), and 5.2 places per childminder (same as 2009)

STAFF

Numbers Staff totalled 434,100 (across all types of setting), with 213,300 in full daycare, 65,400 in sessional provision, 72,100 in after-school clubs and 83,300 in holiday clubs.
Unpaid Numbers of unpaid staff in fullday care settings has risen sharply, from 16,100 in 2009 to 26,800 in 2010. The highest proportion was in sessional care (17 per cent of their staff).
Pay increases +5 per cent in 2010 in full daycare, children’s centres offering full daycare, sessional providers and after-school clubs; +1 per cent in nursery schools and +4 per cent in primary schools offering early years provision; 6+ per cent in holiday clubs.
Hourly rates £10.90 per hour in full daycare at children’s centres. This was by holiday clubs (£9.00), after-school clubs (£8.30), full daycare (£8.00) and sessional care (£7.80). By way of comparison, the national increase in average hourly wages between 2009 and 2010 across the whole economy was 2 per cent.
Age Staff aged 40 or over: 58 per cent in sessional 32 per cent in full daycare, 43 per cent in after-school and 29 per cent in holiday clubs. Two thirds (66 per cent) of childminders were in this age group.
Ethnicity Around 13 per cent of the population are from a Black and Minority Ethnic (BME) background. The percentage in primary schools with reception but no nursery classes was 2 per cent; 10 per cent in fullday care providers; 13 per cent in nursery schools and 17 per cent) in full daycare settings in children’s centres.
Gender Men accounted for 1 or 2 per cent of staff in most types of provider. In after-school clubs it was 8 per cent and 10 per cent holiday clubs.
Disability Members of the workforce with a disability was between 1 and 2 per cent in each type of provider.
Qualifications Level 3   80 per cent of staff in maintained settings; 76 per cent in group-based childcare, up from 73 per cent in 2009; 54 per cent of childminders, compared to 49 per cent in 2009. Level 6   8 per cent of staff in group-based childcare settings, compared to 7 per cent in 2009; 3 per cent of childminders; 42 per cent of maintained sector staff.

FINANCIAL POSITION

Fee income 97 per cent of childminders’ income came from fees, with very few having access to public funding through programmes such as the free entitlement. For full daycare the proportion was 72 per cent.
Fee increases +6 per cent in full daycare.
Profit or breakeven 66 per cent of full daycare providers and 74 per cent of sessional providers.
Profit or surplus 33 per cent of full daycare providers, 30 per cent of after-school clubs, 29 per cent of holiday clubs and 28 per cent of sessional providers, 11 per cent in full daycare in children’s centres.
Loss The proportion of full daycare providers operating at a loss rose by 13 to 19 per cent and from 15 to 20 per cent for sessional providers. ‘These,’ notes the report ‘were the highest loss-making levels seen since the survey began, though the trend is more positive for other providers.’

30 PER CENT MOST DEPRIVED AREAS

Providers 26 per cent of all full daycare settings, 19 per cent of all childminders, 58 per cent of nursery schools and 73 per cent of children’s centres were to be found in the 30 per cent most deprived areas.
Places 28 per cent of all places – the same as 2009 but slightly less than that seen between 2006 and 2008.
Vacancies 28 per cent of places, compared with 16 per cent nationally. However, it is hoped many of the vacancies will be mopped up by the extension of the free entitlement to disadvantaged two-year-olds.
Profit and loss The report notes, ‘In 2009, the proportion of full daycare, sessional and holiday club providers making a loss was relatively similar in the 30 per cent most deprived areas and in the 70 per cent least deprived areas. In 2010 this was no longer the case. For all of these providers, the proportion of loss-making settings in the most deprived areas had become significantly higher than the proportion in the less deprived areas. This would seem to indicate that providers in the less affluent areas are finding it harder to weather the difficult economic conditions than those in the better off areas.’