Figures show that businesses suffered the greatest recessionary impact in 2009, although towards the end of that year occupancy had started to improve as 'poor performers' exited the market.
Speaking at a conference in London to launch the survey, economist Philip Blackburn said, 'While closures peaked in 2009, expansion in children's centres and other areas balanced this out. Further gradual supply contraction is expected, but occupancy is set for gradual improvement over the next five years.'
Mr Blackburn concluded that overall, the impact of the recession had been quite 'mild'.
'Cautious, small-scale expansion is anticipated, but the threat of closures is still high,' he said. 'There is a question mark over whether the funding for the free entitlement can match cost pressures, but staffing remains the biggest challenge.'
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
