The government has announced ambitious new plans to improve the cost, choice and availability of childcare that will benefit hundreds of thousands of parents across the country.

The UK has some of the highest-quality childcare provision in the world with 96% of early years settings rated by Ofsted as good or outstanding, but it is also one of the biggest costs facing working families today.

Some families, in particular women, feel they are not able to return to the workplace after giving birth due to the high cost of putting their child into paid care.

A new consultation will look at increasing the number of children that can be looked after by each staff member in early years settings.

It will propose changing staff-to-child ratios from 1:4 to 1:5 for two-year-olds, giving providers more flexibility in how they run their businesses while maintaining safety and quality of care.

Childcare for children aged 0-2 is the most expensive for providers to deliver, largely given the need for higher supervision levels.

This could potentially eventually reduce the cost of this form of childcare by up to 15%, or up to £40 per week for a family paying £265 per week for care for their 2-year-old, if providers adopt the changes and pass all the savings on to parents.

Education Secretary, Nadhim Zahawi said:

Every child deserves a great start in life and that means giving families the support they need.

Childcare is an integral part of our economy, and these reforms prove again that this government is on the side of working families. I’m hugely grateful to the thousands of dedicated early years professionals who provide daily care and education to our youngest children, which is why I am determined to support them by giving them greater flexibility in how they run their services.

This in turn will support thousands of families across the country, helping to develop children’s skills while also supporting parents into work.

The government will also increase choice and affordability for parents by taking action to open up the childminder market.

While early years settings such as nurseries are the most popular option for families, childminders are generally the most affordable and flexible form of childcare. While the average cost of a two-year-old attending a nursery for 50 hours a week in England is £265 per week, this compares to £236 with a childminder.

Among the proposals are reducing the upfront costs of becoming a childminder via financial support and allowing childminders to spend more of their time working from a greater range of locations – for example a local community centre or village hall rather than their own home;

Childminders will be given greater flexibilities within the ratios when looking after their own children or siblings of other children and there will be a slimming
down of the the childminder specific Early Years Foundation Stage, reducing the framework by one-third to ensure content is targeted and simpler to navigate.

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