Now that providers no longer have to sign a form to confirm that a parent is using their services, it is even easier to play the system. One small group of practitioners attending our DfES round table recently had many examples of fraud among them, and it is likely that this is being replicated across the country on a large scale.
The Government's reliance on demand-side funding through tax credits to give parents choice and expand quality provision may have to be revised.
The current system is enabling cheating, giving providers staffing and financial problems, and conveying a false picture of how much money is going into the sector.
Look out for a Nursery World Special Report soon on tax credit fraud and the issue of demand/supply funding for childcare.
The appointment of a children's commissioner for England last week has attracted much comment about his lack of powers relative to equivalent positions elsewhere in the UK (News, page 4, 'To the point', page 9).
