Every January, the Daycare Trust's survey of childcare costs makes for fascinating reading - and the figures are certainly alarming from a parent's point of view. They consistently show fees rising well above the rate of inflation (see News, page 4).
It would be easy for the public to get the impression that greedy nursery owners are putting up prices in a reckless fashion - far from the truth, as Nursery World readers know. There are many pressures forcing the price of nursery places upwards, including the rises in minimum wages, spiralling business rates, shortfalls from the Nursery Education Grant and the drive to increase graduate recruitment. Few private settings are making a profit.
So we have the Catch 22 of many nurseries suffering from under-occupancy, while parents say they cannot find affordable places. And UK families typically pay around 70 per cent of childcare fees, against 30 per cent elsewhere in Europe. Yet relatively few parents are claiming help with childcare costs through the tax credit system or with childcare vouchers.
The inescapable fact is that high-quality childcare - an excellent environment and resources, strong leadership, staff trained to a high level in early years education and care, good food, and high standards of health and safety - is expensive to provide. None of these elements should have to be compromised. Equally, however, it is no use providing a wonderful service that no-one can afford. More subsidy, more help is required to close the gap. Otherwise, the Daycare Trust survey will be reporting soaring childcare fees for years to come.
