Government proposes increase to registration fees with no change on funding - Alliance responds

Neil Leitch, chief executive of the Early Years Alliance, said:

“It’s not surprising to hear that Ofsted want to increase registration fees - there’s no doubt that running costs will have increased in line with inflation in recent years. And it’s good to hear proposals that will tier prices depending on provider type.

“But it is staggering that after years of the government denying any negative impact of rising costs on providers, including dismissing those struggling as “outliers”, they’re now asking the sector to swallow yet another increase to their outgoings. It is appalling that thousands of providers have closed their doors and many thousands more are scraping by on funding rates calculated on operating costs from seven years ago.

“If the government can admit that Ofsted need a fee increase to keep pace with inflation then it’s beyond time they looked again at early years funding. That means not only an urgent increase in funding levels but also a commitment to review them annually – anything less would reek of double standards and consign many more providers to closure.”



ENDS



Notes for Editors

Current funding levels are based on a cost analysis conducted in 2015 and used data from 2012 - 2013. They do not take into account provider outgoings which have increased dramatically in line with rises to the national minimum and living wages, pension contributions and business rate increases.

Independent research from Ceeda found there is a £662 million shortfall in early years funding. 

About the Alliance

  • The Early Years Alliance is the largest and most representative early years membership organisation in England. A registered educational charity, it also provides high-quality affordable childcare and education to support children and families in areas of deprivation throughout the country.
  • The Alliance represents 14,000 member settings and supports them to deliver care and learning to more than 800,000 families every year. We deliver family learning projects, offer information and advice, produce specialist publications, run acclaimed training programmes and campaign to influence early years policy and practice.

The Alliance website is www.eyalliance.org.uk