Opinion: Editor's view

It looks as though 'birth to school' childcare is being considered by the Government as a vote-winning weapon in the fight against David Cameron and his family-focused policies (News, page 4).

There is a gaping hole at the moment between the maternity pay available for a child's first year and the free entitlement to nursery education for three- and four-year-olds. However, to move from this limited help to a universal system of childcare for birth to five-year-olds, even if better-off families had to pay for some services, would require an immense financial commitment. Where would the money come from? It would not necessarily be a universally popular move with voters who do not have young children, either.

The shortage of money in the childcare system is apparent when you look at the new Childcare and Early Years Providers Survey 2007, just published, with very little noise, by the Department for Children, Schools and Families (News, page 4). More than half the daycare provision in children's centres is running at a loss, while only 7 per cent made a surplus. The number losing money has increased substantially from the 2006 survey.

The financial situation of most types of childcare providers has worsened since 2003. Less than a third of full daycare providers made a profit in 2007. Far more after-school clubs reported a loss, compared with the year before.

Although more holiday clubs (27 per cent) were making a surplus, the number of clubs declined by nine per cent over the year and fewer staff were being employed.

A universal childcare election pledge would be extremely tough to deliver.