Nursery World - Further concern for sector as DfE survey shows increasing childcare delivery costs

The annual cost of providing childcare has risen by 20 per cent since last year, new Department for Education figures reveal.

The cost of delivering childcare has increased by 20 per cent since last year, finds the DfE survey

The latest Childcare and Early Years Providers Survey shows the annual cost of delivering childcare for private and voluntary providers in 2019 is £240,333. This is up from £199,708 in 2018.

Staff wages account for the higher proportion of childcare delivery costs for nurseries and pre-schools (73 per cent), followed by rents and mortgages (10 per cent) and food costs (4 per cent).

The figures are based upon data submitted by childcare providers between March and July.

The publication of the survey follows the news that some local authorities will receive up to 8p more per hour, per child for delivery of the funded hours – the equivalent of just a 2 per cent rise. However, the amount passed on to childcare settings is likely to be much less.

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