You are here: News Scottish parents face toxic mix of rising childcare costs and lack of childcare places
The Family and Childcare Trust warns today that a combination of above-inflation price rises together with patchy childcare provision is putting pressure on families in Scotland.
The warning comes as the charity publishes its third annual childcare costs survey for Scotland. This reveals costs continuing to rise above inflation, with nursery childcare for children under two 4.8 per cent more expensive than last year. The cost of part-time childcare for two children is now 22 per cent higher than the average mortgage bill.
Parents in Scotland also face a postcode lottery because of substantial differences in costs between local authorities in Scotland. There is an 80 per cent difference in nursery costs between neighbouring local authorities in Scotland. This means that parents in the more expensive local authority pay over £3,000 more for part-time childcare every year than in the cheaper local authority next door.
Finding childcare is also a major challenge for parents in Scotland. Under a quarter (23 per cent) of Scottish local authorities have enough childcare for working parents, compared to 54 per cent in England, meaning that parents struggle to make work pay and lift themselves out of poverty.
Anand Shukla, chief executive of the Family and Childcare Trust said:
The high profile of childcare in Scotland reflects the challenges that families face today. Many families in Scotland desperately struggle to find childcare and if they do, they pay a sum similar to or more than a second mortgage for it. We warmly welcome the recent commitments on childcare from the main parties but setting out childcare strategies is only the first step. What matters for families is whether such policies mean that they will get the affordable, high-quality childcare that they and their children need.
Julian Foster, Managing Director at Computershare Voucher Services, who sponsors the Scotland annual childcare costs survey, said:
Not only are costs in Scotland rising faster than in England, but Scottish parents also face a postcode lottery, with some quite staggering price differences between neighbouring local authorities, and there is clearly not enough childcare to meet Scotland’s needs. Bold reform is needed to address Scotland’s many childcare challenges.
As well as a long-term vision for childcare in Scotland, the Family and Childcare Trust believes there are some short-term steps that can be taken by the Scottish Government to help ease the burden on parents who can’t afford or access childcare:
- Strengthen the legislation for local authorities to provide sufficient childcare for children to tackle the serious gaps in Scotland’s childcare provision
- Set up a Government inquiry examining the substantial variations in pricing between local authorities
- Make free early education available to all two-year-olds
- Make better use of school premises to provide high-quality and flexible childcare provision, particularly in rural areas
- Put pressure on the Westminster Government to up-rate working tax credit to account for cost increases since 2005
-ENDS-
Contact: Mark Bou Mansour, Communications and Campaigns Manager, mobile: 07538 334 772, email: mark@familyandchildcaretrust.org.
Notes to editor:
The Family and Childcare Trust’s annual childcare costs survey is the definitive report on childcare costs and sufficiency in the UK and its data are used by the Department for Education and the OECD.
A survey was sent to all local authority Children’s Information Services in Scotland in December 2013 requesting details about the costs and availability of childcare. Responses were received from 28 local authorities representing a response rate of 88 per cent. Figures specific to each local authority cannot be disclosed as we rely on confidential sharing of data to ensure accuracy in our findings.
The Family and Childcare Trust’s recent UK-wide report on childcare costs revealed that even part-time costs for a family with two children now outstrip the average mortgage bill.
Key findings in Scotland:
Childcare costs:
- The cost of sending a child under two to nursery part time (25 hours) is now £106.04 per week in Scotland or £5,514 per year.
- There are large variations in childcare costs between local authorities in Scotland. A parent buying part-time nursery care in the most expensive local authority would pay £3,341 more every year than its cheaper neighbour.
- The average cost of an after-school club is now £49.54 in Scotland or £1,883 per year.
- Even part-time childcare costs more than the average mortgage. For a family with two children the cost for one child in part-time nursery care and one at an after-school club is £7,397 per year, 22 per cent higher than the average mortgage in Scotland (£6,053). Where the family uses full-time nursery care, the yearly bill is £11,143.
- Over the last year, the costs of all forms of under-fives childcare have risen above the rate of inflation in Scotland, with a nursery place for a child under two increasing by 4.8 per cent since 2013.
- Parents in Britain spend more than a quarter of their income on childcare (26.6 per cent) – that’s more than in any other European country except for Switzerland.
Childcare supply:
- There have been increases in the supply of childcare since the 2013 survey, but under a quarter (23 per cent) of Scottish local authorities have enough childcare for working parents. This compares with 54 per cent of local authorities in England.
- There are also serious gaps in provision for school-aged children, disabled children, children who live in rural areas and for parents with atypical work patterns.
- 82 per cent of local authorities now undertake assessments to see if they have enough childcare, up from 44 per cent in 2013.
Extension of free early education:
- The majority of local authorities (74 per cent) are confident that they will meet the August 2014 target of extending free early for three and four year olds to 600 hours per year.
- Free early education is also being offered to two year old children in workless households. Only 19 per cent of local authorities stated that they had the capacity and financial resources to ensure enough places for this group and meet the August 2014 target for implementation.
About the Family and Childcare Trust
The Family and Childcare Trust works to make the UK a better place for families. Our vision is of a society where government, business and communities do all they can to support every family to thrive. Through our research, campaigning and practical support we are creating a more family friendly UK.
For further information, go to www.familyandchildcaretrust.org.
About Computershare Voucher Services
Computershare Voucher Services (CVS) is the UK’s largest dedicated childcare voucher provider, responsible for the administration, management and development of childcare vouchers, an employee benefit available to all eligible working parents. CVS currently works with over 100,000 working parents, more than 14,000 organisations and over 87,000 carers each month.
CVS has vast experience of the childcare vouchers industry, reinforced by significant technology enhancements which benefit its diverse customer base, spanning every sector, from some of the UK’s largest corporations to SMEs.
CVS is a founding member of the Childcare Voucher Providers Association (CVPA) which represents childcare voucher providers and sets the benchmark for standards in the industry through its Code of Practice, to ensure carers, parents and employers receive the highest standard of service from childcare voucher providers.
In offering the childcare voucher services, we undertake to act in accordance with the CVPA Code of Practice which is available on the CVPA website at www.cvpa.org.uk. If you are dissatisfied with the outcome of any complaint made to us as regards Computershare’s compliance with the CVPA Code of Practice, please send your complaint to: Childcare Voucher Providers Association (CVPA), 105 St Peters Street, St Albans, Hertfordshire, AL1 3EJ.
For more information visit: www.computersharevoucherservices.com.
About Community Playthings
A sound understanding of child development underpins Community Playthings’ product design. Manufactured in the UK, furniture and equipment supports children’s creativity, learning and play in schools and nurseries across the private, voluntary and public sectors.
In collaboration with leading educators and early years consultants, Community Playthings also publishes authoritative staff training resources. The most recent releases are The irresistible classroom and A good place to be Two.
Community Playthings has been creating child-friendly environments for over 50 years. For more information, visit: www.communityplaythings.co.uk.