Free Childcare Scheme

Baroness McIntosh of Hudnall Excerpts

Wednesday 20th March 2024 Lords Chamber

[Baroness Barran (Con)]

Some people might recognise that the Government are making a very substantial investment in this area. We have already spent more than £20 billion over the past five years to support families with the cost of childcare, and this next step will be another major one.

[Baroness McIntosh of Hudnall (Lab)]

I really do not think that the House would wish to cast aspersions on the intention of this policy. Most people would think that it was good and worth supporting. However, can the Minister say whether there is an accurate match between the funds that will be available to the sector from the Government to support this expansion and the need that they have identified for the funds in order to do it successfully? I think she will agree that there has been some doubt as to whether those two numbers match.

[Baroness Barran (Con)]

I genuinely thank the noble Baroness for her question, because it gives me the opportunity to set out a couple of things. One might want to look at funding rates for different ages of children to see whether there is sufficient funding. The funding for three to four year-olds is almost identical in the new scheme to previous rates. For two year-olds, the Government will pay £8.28 an hour, compared to £6.07 previously, and for those between nine months and two years, £11.22, compared to £6.05. I leave the noble Baroness to draw her own conclusions.