UK Finance Minister Unveils New Free Childcare Policy

UK finance minister unveils new free childcare policy

London, (UrduPoint / Pakistan Point News - 16th Mar, 2023 ) :UK finance minister Jeremy Hunt on Wednesday announced that most working parents in England will be offered 30 hours of free childcare for their under-fives, to ease cost-of-living pressures on families.

The policy, part of the government's tax and spending plans unveiled in the budget, will eventually apply for 38 weeks of the year, from when a child is nine-months-old until they start school aged around five.

It comes alongside a host of childcare measures aimed at encouraging more women back into the workplace -- or to remain working -- after having children, while better funding the sector.

Childcare costs in the UK are among the highest in the 38-nation OECD, accounting for nearly a third of a family's income compared to just nine percent in France.

"We have one of the most expensive systems in the world," Hunt told parliament as he delivered his budget.

"For many women, a career break becomes a career end," he added, noting that almost half of the non-working mothers said they would prefer to work if they could arrange suitable childcare.

The 30-hour provision for those working at least 16 hours a week will be introduced in stages -- from next April to September 2025 -- and brings England into line with Scotland and Wales, where childcare policy is set by devolved governments.

- 'Not enough' - Hunt said the package was worth on average �6,500 ($7,844) every year for a family with a two-year-old child using 35 hours of weekly childcare and would reduce their childcare costs by nearly 60 percent.

Other new measures announced include piloting incentive payments of up to �1,200 for childminders who sign up to the profession, and increasing funding paid to nurseries providing free childcare.

Optional minimum staff-to-child ratios will also rise from 1:4 to 1:5 for two-year-olds in England, mirroring the situation in Scotland.

Meanwhile, hundreds of thousands of parents on the "Universal Credit" benefits system could see their childcare costs paid for upfront, instead of having to be reclaimed.

The government is also aiming for all schools in England to offer so-called wrap-around care either side of the school day for children by September 2026 through extra funding, Hunt said.

Some childcare advocates welcomed the new policies, with Justine Roberts, CEO of Mumsnet -- Britain's biggest online forum for mothers -- calling them "a hugely significant intervention".

But Joeli Brearley, head of the campaign group Pregnant Then Screwed, cautioned that "the money pledged is not enough to reduce costs for parents sustainably".

"Free childcare from nine months is brilliant, but only if there are childcare settings to be able to access this care, without the correct funding there won't be," she added.