London 'needs extra funding to create 25,000 nursery places'

17 Dec 12
Almost 25,000 extra nursery places will be required in London next year to meet a pledge by the deputy prime minister to provide free part-time early-years education for the poorest 20% of two-year-olds.
By Tom Forrest | 17 December 2012

Almost 25,000 extra nursery places will be required in London next year to meet a pledge by the deputy prime minister to provide free part-time early-years education for the poorest 20% of two-year-olds.

New research, carried out by the Daycare Trust for London Councils, suggests that a minimum of 24,100 new places will be required to meet the promise in the capital. From September 2014, the pledge extends to the poorest 40% of two-year-olds meaning that a further 7,600 places will be necessary.

‘This policy has the potential to boost the life chances of the most deprived children in London, but funding an additional 25,000 early education places for two-year-olds is proving a huge challenge for local authorities,’ said Anand Shukla, the chief executive of the Daycare Trust.

‘A shortfall in day-to-day funding, for providers and for local authorities, risks compromising this ambitious policy. A small amount of extra funding would get the buy-in of providers and the essential local authority infrastructure needed to make this scheme a success.’’

Nick Clegg originally made the commitment to extend free early education to disadvantaged two-year olds in October 2010. The government subsequently committed £534m nationally to provide the 20% most deprived two-year-olds with 570 hours of free care a year from 2013. This rises to £760m in 2014 when the entitlement increases to the 40% most disadvantaged.

But the report points out that particular pressures in the capital mean that the costs will be significantly higher than in other parts of the UK. It calls for an extra £48m of revenue funding for London to enable providers to be paid £8 an hour.

‘London has more births, more poverty and more expensive childcare costs than elsewhere in the UK. The government needs to take this into account,’ said Jules Pipe, chair of London Councils.


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