Nursery World - If the CAP fits...

A London scheme is subsidising private daycare places by giving funding directly to providers. Simon Vevers investigates Falling occupancy levels, fee rises outstripping inflation by 22 per cent in the past five years, and the ever-growing threat from state-subsidised provision - the private sector has never faced such a stark challenge.

Falling occupancy levels, fee rises outstripping inflation by 22 per cent in the past five years, and the ever-growing threat from state-subsidised provision - the private sector has never faced such a stark challenge.

With 25 per cent of private-sector capacity unused, providers are alarmed at Government plans to forge ahead with plans for hundreds of children's centres, many of which will create new and - in many cases, providers feel - unnecessary childcare places, each costing an estimated 15,000.

Amid this gathering commercial gloom, private providers and local authorities are watching with interest - and a degree of hopeful anticipation - the evolution of the London Childcare Affordability Programme (CAP).

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