(10 years, 8 months ago)
Lords ChamberRead Hansard Text Read Debate Ministerial Extracts
Baroness Jenkin of Kennington
To ask Her Majesty’s Government what plans they have to increase access to quality childcare for women in low-income households.
Baroness Northover (LD)
My Lords, finding good-quality affordable childcare can be a real struggle for some families, which is why we are making reforms in three areas. We are improving availability by increasing the number of places across childminders, nurseries and schools. We are improving quality by improving staff qualifications, and simplifying and strengthening the inspection regime. We are also making childcare more affordable through the early education entitlement for two year-olds, tax-free childcare and universal credit.
Baroness Jenkin of Kennington (Con)
My Lords, I thank my noble friend for that Answer. Noble Lords may not be aware that we in this country spend 1.1% of GDP on childcare—approximately double the OECD average—and yet families spend more than 26% of their income on childcare, which, again, is approximately double the OECD average. So will my noble friend confirm that as well as supporting hard pressed families, and particularly low-income families, the Government also take into account value for money for the taxpayer?
Baroness Northover
My Lords, we review very closely the effectiveness of our policies across this area and look very closely also at what is happening in other countries. We certainly recognise the importance of good-quality childcare, which is why we have sought to increase support to 15 hours a week free childcare for all three to four year-olds and for two year-olds from disadvantaged homes.
Baroness Massey of Darwen (Lab)
My Lords, is the Minister aware of the report published recently by the Institute for Public Policy Research which states that where childcare is publicly funded, rates of maternal employment are higher? What can be done, therefore, about the fact that nearly half of local authorities do not have sufficient childcare places?
Baroness Northover
Yes, I have read the report to which the noble Baroness refers. It is of course extremely important that we have good-quality childcare so that the trend of mothers returning to work can continue. As for the availability of childcare places, however, we have found, using information from providers, that there are 300,000 unfilled places nationally—which is encouraging. In other words, there are places. I realise that the information to which the noble Baroness refers comes from local authorities. One has to worry somewhat about the quality of their data when they do not square with what the providers are saying.
Lord Storey (LD)
My Lords, my noble friend’s Answer to my noble friend Lady Jenkin showed the huge amount that is being done for childcare. My noble friend may be aware that recent figures show, as regards the most disadvantaged two year-olds, that there is only a 15% take-up of formal childcare provision. How can we ensure that this particular group, which is key to social mobility, takes up that opportunity?
Baroness Northover
My noble friend will know about the scheme for disadvantaged two year-olds. He might be pleased to know that only one month after launching that scheme 92,000 children have benefited. That is 70% of the deprived children who we wish to reach, which is remarkable in only one month.
Baroness Deech (CB)
Is the Minister aware that in some other countries there is a system of free universal childcare and that the economic case has been made that it is worth funding such a system as it releases so many women to return to the labour market if they want, taking them off welfare and even leading to their paying taxes? Will she please consider the economics of providing free universal childcare and cutting through the Gordian knot of all the complications and difficulties that we have at the moment?
Baroness Northover
As I mentioned before, we keep under close review what happens in other countries. I remember visiting Leningrad and seeing its universal childcare when I had three children under five; they were in the UCL nursery which meant, in effect, that I had no salary. This is a long-standing problem but we are acutely aware of the importance of high-quality childcare—which I am afraid I did not see in the nurseries I visited in Leningrad—and ensuring that women are able to work.
Baroness Morgan of Ely (Lab)
My Lords, does the Minister agree that childcare costs in this country have rocketed in recent years? Average costs of £7,500 per child per year for a full-time care place is more than most people spend on their mortgages. In some areas such as the West Midlands, there has been a 46% increase in childcare costs in four years. When will the Government get a grip on the situation and ensure that it is financially worth while, particularly for those with no skills, to get back into the workplace?
Baroness Northover
I pay tribute to what the previous Government did to try to focus on childcare—they did improve the quantity and quality, but they also increased the cost. In the 2000s, the cost of childcare went up enormously. I am quite encouraged that the cost has stabilised over the past couple of years. There is a difference between England, where the cost is stabilising, and Scotland and Wales, where it is not. I have all the figures here if the noble Baroness wishes to see them. It is encouraging to see that stabilisation. I realise why the previous Government were pressing forward in the way that they were, but there were costs involved in that. We have to make sure that high-quality affordable childcare is available to people.
The Earl of Listowel (CB)
My Lords, at the risk of tiring the House, and in recognising the important work that the Government are doing, perhaps I may ask if the Minister shares my deep concern that—given what she just said about the importance of high-quality childcare to get the outcomes we want—the most recent Ofsted report has found that one-third of nurseries are only “satisfactory” in quality. Will the Government review the funding of entitlements for two and three year-olds? Those practising in this sector universally voice a concern that while this entitlement is welcome, it needs to be properly funded by the Government if we are to retain and recruit the best people to work with our children.
Baroness Northover
The funding is there for all three and four year-olds and for disadvantaged two year-olds. On the quality of childcare, the noble Earl is absolutely right: it is crucial. That is why we have introduced the more rigorous early years educator qualification. There are 1,000 bursaries for apprentices in this area and places for 2,300 trainees to become early years teachers.