Covid-19: Childcare Sector

Baroness Burt of Solihull Excerpts

Tuesday 21st July 2020 Lords Chamber

Asked by

[Baroness Burt of Solihull]

To ask Her Majesty’s Government what assessment they have made of the impact of the COVID-19 pandemic on the childcare sector.

[The Parliamentary Under-Secretary of State, Department for Education and Department for International Trade (Baroness Berridge) (Con)]

My Lords, the preschool sector plays a vital role in educating our youngest children. We understand that this is a challenging time for many businesses and we will continue to ensure that early years providers get the best possible support from the Government’s support schemes. We will continue to work closely with local authorities and the early years sector organisations to monitor the impact of the pandemic and on any further support measures required.

[Baroness Burt of Solihull (LD) [V]]

I thank the Minister for the Answer, but it will not address the fundamental problem of underfunding in the childcare sector, which was on its knees before Covid. The early years entitlement covers only a fraction of the actual cost. If we want mothers and fathers to play their part in the recovery, we must pay the childcare sector fairly and properly, otherwise the recovery and the development of many children will be damaged. What can the Government do to stop this disaster unfolding?

[Baroness Berridge]

My Lords, in addition to what I outlined about the early years entitlement continuing to be paid in the autumn term of this year, many of these businesses have been able to take advantage of the various schemes that have been offered, such as the job retention scheme and the business interruption loans. If a furloughed worker in an early years setting is still in employment in January next year, they will of course also be eligible for the £1,000 bonus. Substantial support is going into these businesses, which we recognise are more often than not small businesses.