The National Day Nurseries Association (NDNA) business performance survey, in association with Nursery World and Pound Gates, has found that a quarter of nurseries were unable to say whether they would take part in the scheme in the future.
The report said that funding concerns raise questions over the Government's plans to expand free places for the most disadvantaged two-year-olds.
Comments from nurseries that took part in the survey suggest that the main reason for this uncertainty revolves around concerns about the sufficiency of the local authority funding in covering the costs of providing places, summed up by one nursery owner as, 'Not commercially viable to participate at current hourly rates available.'
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