The Laing and Buisson nursery market report said it was now worth 3.4 billion, slowing from 17 per cent growth in 2004 and 12 per cent in 2003, 'as the market started to adjust to several years of capacity outpacing demand'.
Ominously for private sector providers, it said that while children's centres and extended schools were a major driving force for nursery market expansion, they remained 'a competitive threat to the private/voluntary sector'.
The report said that market growth was also held back 'by the lowest annual nursery fee inflation on record' - just 1.1 per cent and, in reality, a fall when adjusted to inflation in the rest of the economy.
Register now to continue reading
Thank you for visiting Nursery World and making use of our archive of more than 35,000 expert features, subject guides, case studies and policy updates. Why not register today and enjoy the following great benefits:
What's included
-
Free access to 4 subscriber-only articles per month
-
Unlimited access to news and opinion
-
Email newsletter providing activity ideas, best practice and breaking news
Already have an account? Sign in here