Sixty per cent of our children now receive funding through the early years grant. The nursery is regularly recommended to parents by social services, education and health professionals. Yet it is becoming increasingly apparent that the level of early years grant funding provided to the private and voluntary sector is lagging far behind the maintained sector.
We are expected to provide a high standard of education at a rate of Pounds 7.92 per child for a 2.5 hour session.
The private sector does not ask for preferential treatment, only fairness.
The maintained and voluntary sectors have two huge financial advantages.
They pay neither VAT nor business rates. I have calculated that during the first six months of this year we have paid about 2,000 VAT and a further 2,700 in business rates. It is equivalent to a potential 20 per cent pay increase for our staff.
The National Day Nurseries Association and other organisations campaign enthusiastically on a number of issues, but in this respect they have all missed the obvious. Both VAT and business rates need to be abolished for all those providing nursery education and care. VAT is exactly that, it is a tax - money down the drain for no gain.
However, I do not suppose that this simple solution to funding problems will even be considered by a Government that thrives on financial complexity.
Lynne Tasker, Small World Kindergarten, Ipswich
