Rising costs

Save the Children and Daycare Trust has cast new light on the impact of the rising costs of childcare.

A survey, conducted by Save the Children and Daycare Trust and published in September, has cast new light on the impact of the rising costs of childcare. Parents in Britain spend close to a third of their income on early years places for their children, leading many to report that they cannot afford not to work, but struggle to pay for the care working necessitates. Worryingly, the survey indicated that low-income families are having to turn down jobs, or consider leaving work, because the cost of childcare outstrips their earnings.

In particular, the survey identified the consequences of the Government’s cut to Working Tax Credit in relation to the latter, and both Save the Children and Daycare Trust called for an increase in the amount to be spent on childcare support under the new Universal Credit. The Government responded in October by announcing it would make an extra £300- million available; however, fears remain that the poorest in society will be significantly worse off under the new arrangements.

Reinforcing these findings, a separate survey by insurer Aviva returned similar results in August – having questioned 6,000 families, it stated that 32,000 women had left the workforce since 2010 because of the “associated costs of working”.

Find more details at savethechildren.org.uk/childcare