Alliance welcomes result of Childcare Bill funding review vote

14th October 2015

The Pre-school Learning Alliance has welcomed the addition of a new Childcare Bill clause that requires the government to carry out a comprehensive funding review and put in place a ‘comprehensive and sustainable funding solution’ before rolling out the 30-hour childcare pledge, during today’s House of Lords debate on the legislation.

Neil Leitch, chief executive of the Pre-school Learning Alliance, said:
“We are delighted that that the House of Lords has listened to the concerns of the early years sector and made this vital amendment to the Childcare Bill.

“While the Alliance recognises that the 30-hour offer will be welcomed by many families currently struggling with the cost of childcare, without adequate, sustainable funding, the scheme simply isn’t feasible. Only last year, the childcare minister said that Labour’s 25-hour childcare pledge would cost ‘£1.5bn, at least’ - to cost their own 30 hour proposal at less than half this amount, therefore, is unjustifiable.

“It is imperative, now, that this clause remains part of the bill as it continues its journey through Parliament. Up until this point, the government’s funding review has been disjointed, rushed and unfocused, with many of the conclusions drawn so far - such as the fact that most parents would use the additional hours, or that staff costs make up the majority of provider expenditure - both obvious and unhelpful. The government should now commit to undertaking a full, in-depth review of childcare funding, ensuring that a credible, sustainable solution to childcare sector underfunding is put in place before the plans are rolled out.

“To be clear, this change is not about blocking the bill, or delaying the roll-out of the scheme. It is about ensuring that the offer is sustainable and will succeed in the long-term, and that neither providers nor parents will have to bear the cost of a pledge that should be adequately funded by government.”

For further information or to interview, Neil Leitch, Chief Executive of the Pre-school Learning Alliance please contact:
Shannon Hawthorne
Pre-school Learning Alliance
T: 020 7697 2503
E: Shannon Hawthorne

Notes for editors

  • The amendment states that the 30-hour offer will not be rolled out until the Secretary of State established an independent review of the free childcare entitlement funding system, including a large-scale analysis of the cost of delivering funded places; and put in place a comprehensive and sustainable funding solution

The Alliance’s Early Years Agenda manifesto called for:

  • work with the Alliance to undertake a full, in-depth review of the free entitlement funding system, including a large-scale analysis of the cost of delivering funded places
  • introduce a statutory requirement on local authorities to collect annual data from local providers on the cost of delivering free entitlement places
  • undertake an annual review of free entitlement funding levels and how they compare to the cost of delivering places using data collated from local authorities, with a report published on the findings

ABOUT THE ALLIANCE

  1. The Pre-school Learning Alliance is the largest voluntary sector provider of quality affordable childcare and education in England.
  2. Through direct provision and its membership of 14,000 nurseries, sessional pre-schools and parent and toddler groups, the Alliance supports over 800,000 children and their families in England. The Alliance also develops and runs family learning programmes, offers information and advice, runs acclaimed training and accreditation programmes and campaigns to influence early years policy and practice.
  3. For information about the Pre-school Learning Alliance, visit our website:

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