Childcare Bill [HL]

Baroness Tyler of Enfield Excerpts

Wednesday 14th October 2015 Lords Chamber

[Lord Sutherland of Houndwood]

My Lords, I very much support the spirit of Amendment 20A. This is one of the key points that the Bill seeks to address. However—continuing in my pessimistic mode, I fear—I think this is one of the hard choices that may have to be made. I can see how large providers might well be able to do this and how in large centres of population this kind of provision will be possible. But asking small providers to continue provision outside their normal hours may well stop them operating completely. This is a matter of hard choices and I would be much happier with the amendment if it said something like, “Regulations should take account of the need to” rather than “ensure” because I do not think that regulations can ensure this.

Very quickly, I would be unhappy to do what Amendment 2 suggests because I fear that if you take the Secretary of State out of the line of full responsibility, the danger is that the responsibility lands on the local authorities and, as we have seen in other areas—and I have a lot of interest in the provision of care for the elderly—the local authority would have the responsibility but not the funding.

[Baroness Tyler of Enfield (LD)]

My Lords, my name is also attached to Amendment 20A. I feel strongly about this issue because a few years ago I chaired a policy working group about how families could balance their working lives with their family commitments. In looking at childcare issues, the three As—availability, accessibility and affordability—were thought to be extremely important, and we are hearing a lot about them today. But something else was felt to be equally important by the people we talked to: flexibility.

I was very taken by some recent research produced by Citizens Advice about the experience of parents in the childcare market, which really highlighted how those children who need childcare at non-typical hours were found to be at a far greater disadvantage, and parents spoke of their “intense difficulty” in finding childcare that worked for them. They often did flexible working hours or shift work, were in low-paid employment and were dependent on public transport. Their experience suggested that it was close to impossible to find childcare before 7 am and after 7 pm on workdays, or at any times at weekends; for some, even finding care outside 9 am to 4 pm was difficult. Childminders were seen as just as inflexible as nurseries. That is why I think it is very important to say something about this in the Bill.

I would just like to respond to the very important point that the noble Lord, Lord Sutherland, has just made because I think it really would be a problem if this applied to every provider, as he said. Clearly, some small providers would not be in a position to do that but if you look at the wording of the amendment, it talks about having that flexibility,

“within the local authority area”,

not in relation to every single provider. That is an important point to stress.

[Lord Nash]

My Lords, I will concentrate first on the delivery model for the 30 hours of free childcare. The Government are in full agreement with the spirit of Amendment 2 in the names of the noble Lord, Lord Touhig, and the noble Baroness, Lady Jones. We agree that local authorities are best placed to ensure that working parents are able to access 30 hours of childcare free of charge. They have a proven track record in delivering the existing entitlement to 15 hours of free early education, which has a take-up rate of 96% and is well understood by parents and childcare providers. We therefore do not fundamentally want to move away from that approach.

Government Amendment 18 proposes to insert a new clause into the Bill which will provide for the Secretary of State to be able to discharge her duty through local authorities. As the policy statement published on 2 October set out, delivering the extended entitlement through local authorities is the Government’s preferred approach and we intend to exercise the Secretary of State’s power to make regulations to that effect following Royal Assent. Indeed, the Delegated Powers Committee states in its report that it welcomes,

“the Government’s efforts to respond to earlier criticisms”,

and goes on specifically to say that it is now clear that functions in the Bill will be conferred on local authorities. I am pleased to confirm that, further to amendments I will move later this evening, the first set of regulations imposing requirements on local authorities—and all regulations made under the new clause—will be subject to debate before both Houses. At the appropriate time, we will, of course, provide statutory guidance for local authorities on what is expected of them. This guidance will be subject to a public consultation next year.

Of course, Amendment 2, in the name of the noble Baroness, Lady Jones, and the noble Lord, Lord Touhig, is cast slightly differently from the Government’s amendment and would remove the duty on the Secretary of State altogether. The Government do not wish to remove this duty from the Bill, even with very clear intentions that it will be discharged through English local authorities. That is for a very good reason: the manifesto commitment to provide three and four year-olds of working parents with 30 hours of free childcare is a significant one and a priority for this Government to deliver. We know that childcare is the issue for parents, and that it inhibits many from going back to work, or from working more, when they would otherwise choose to do so. For that reason, the Government believe that it is right for the Secretary of State to be named in the Bill because parents will, ultimately, hold her to account for delivery of the entitlement. I am grateful to the noble Lord, Lord Sutherland, for his remarks in this regard.

I can assure noble Lords that the Government are committed to working with local authorities as we develop the delivery programme; now, through the early implementer stage from September 2016, and beyond that into full rollout of the system from September 2017. In answer to the noble Lord, Lord Touhig, I can confirm that we will carry out a full new burdens assessment to ensure that any net additional costs to local government are fully funded. Our officials have met the Local Government Association to discuss this and I thank it for its positive engagement.

The positive intention behind the amendments we have brought forward today does not end there. They are also aimed at providing greater clarity about a range of other matters that were of interest to noble Lords during previous debates on the Bill and removing provisions which were causing noble Lords some concern. First, I am pleased to be able to confirm that government Amendment 12 removes some of the provisions which were of particular concern to noble Lords, for example the wide power to impose obligations on any public body or to reproduce any provision of the Childcare Payments Act. Amendment 18 would replace powers which have been criticised as being too wide in their scope with a more targeted set of powers. In particular, we have taken powers which will enable us to create gateways for government departments and local authorities to be able to share information they hold for the purposes of checking a child’s eligibility for the extended entitlement. Information-sharing gateways will, of course, need to be subject to appropriate safeguards and that is why we are clear that unauthorised, onward disclosure of information obtained through those gateways ought to be subject to a criminal offence, a matter which I will speak to shortly as I know it is of great concern to the House.

Of course, successful delivery of the extended entitlement is not merely about ensuring that children who qualify can be correctly identified. It also means putting in place robust mechanisms to ensure that parents and providers can have confidence in the eligibility-checking system. We recognise that there may be occasions on which parents are not satisfied with a decision made in connection with a child’s eligibility. In these cases, it is right that parents are able to challenge that decision and that is why the Government’s proposed new clause enables them to make regulations providing for a right of review in relation to a determination of eligibility with an onward right of appeal to the First-Tier Tribunal.

I turn to the amendments tabled by the noble Baroness, Lady Jones, and the noble Lord, Lord Touhig, relating to criminal offences. I hope noble Lords will be reassured that government Amendment 18 seeks to draw a clear line between conduct that will amount to a criminal offence and that which will attract a civil penalty. The new clause has significantly narrowed the power for the Secretary of State to create criminal offences and I am pleased to be able to reassure noble Lords that there will only be one new criminal offence in connection with the extended entitlement and that this will align with existing offences for schemes involving information sharing. This reflects the Government’s position that criminal offences should not be created lightly and should be used proportionately. It is also intended to make clear the Government’s intention to ensure that personal information, which will also often be sensitive, is not disclosed to those who have no right to see it.

In relation to the level of sanction for the offence, the term of two years that we propose aligns with that provided for in Section 13B of the Childcare Act 2006. Moreover, it is important to remember that this is not a fixed penalty but a statutory maximum and that ultimately the sanction in any particular case will be a matter for the courts. I reassure the noble Lord, Lord Touhig, that we have no intention of criminalising parents. The Bill creates a criminal offence only where sensitive information is disclosed without authorisation, which is designed to protect parents and their information. Although we have sought to narrow the scope of offences, the Government are clear that there should be the possibility of financial penalties on those who provide false or misleading information, make false or misleading statements or otherwise act dishonestly in applying for the extended entitlement. The maximum amount of any penalty will be £3,000. Again, it is only a maximum and there remains discretion to impose a much lesser penalty, depending on the circumstances. Any proposal to amend the maximum level of the penalty would need to be by affirmative resolution and so subject to debate by this House. I hope that noble Lords will agree that that is a more proportionate approach to tackling any dishonesty on the part of parents or providers seeking to benefit from the extended entitlement than the imposition of criminal sanctions.

I shall now speak briefly to Amendment 20A, tabled by the noble Baronesses, Lady Pinnock and Lady Tyler, which is aimed at ensuring that sufficient flexible childcare is available for working parents. As my noble friend Lady Evans acknowledged in Committee, it is important that the extended entitlement is made available at times which provide sufficient flexibility to parents working outside the hours of 9 to 5 and during holiday periods. I once again reassure noble Lords that we want to build on the flexibility that is already in the system to accommodate out-of-hours childcare and holiday periods. We will set out in in statutory guidance provisions about flexibility which local authorities should consider, as well as work that local authorities can do to enable parents to take the entitlement in a pattern of hours that best meets their needs. This will build on what we say in the statutory guidance for the existing entitlement, and we will ensure that the early implementation pilots focus on the issue of flexibility.

We also want local authorities to work with all forms of providers in their areas, including schools, to ensure that, as far as possible, there is sufficient childcare in their areas which responds to parental demand, including out of hours and during the holidays. Given that many early-years childcare providers open throughout the year, provision during holiday periods is less of an issue for parents of children who have not yet reached compulsory school age, but we acknowledge that more could be done to support parents with school-age children to access wraparound care. That is why we recently announced two new measures which will enable childcare providers to open school sites outside school hours and give parents the right to request childcare. Schools will receive clear guidance on the circumstances under which we will expect them to allow a provider to use their site, and we will also make clear how schools should consider and respond to proposals. These new powers will help with the availability of childcare and demonstrate that the Government are on the side of working families.

In conclusion, I believe that the Government’s proposed new clause in Amendment 18 achieves our shared aim of delivering the entitlement through local authorities. Similarly, Amendments 12, 17 and 18 further address noble Lords’ concerns in Committee about the scope of the powers set out in the Bill. The powers are now more clearly defined and, I hope, offer greater clarity as to how the Government intend to ensure that all eligible children receive the childcare to which they will be entitled.

I hope that noble Lords will feel able to support the Government’s amendments, recognising that we have listened to and taken on board their previous concerns. I also hope that they are reassured that the Government are absolutely committed to ensuring that parents have access to childcare in ways and at times which meet their needs. I therefore urge the noble Lord, Lord Touhig, and the noble Baronesses, Lady Jones, Lady Pinnock and Lady Tyler, not to press their amendments.

--- Later in debate ---

[Baroness Massey of Darwen (Lab)]

My Lords, I rise to speak to Amendment 11, which is part of this important group of amendments relating to the quality of childcare.

In Committee, I tabled an amendment which proposed that in all dealings with children, the welfare of the child should be paramount, in accordance with the United Nations Convention on the Rights of the Child. The Minister mentioned “paramount” earlier today. I do not recall the term coming up in any previous government document or discussions, but I stand to be corrected.

The amendment I am discussing is based on ensuring quality childcare, which means having good staff-to-child ratios, staff who are trained in childcare at level 3 or above, or who are in training for that, and a member of staff qualified to care for children with SEN or a disability. Funding, of course, affects all this and I share my noble friends’ concerns about funding expressed earlier.

I know that some of my dear friends round the Chamber are concerned about the qualifications issue. I am not knocking their comment that you do not necessarily need to have high-level qualifications to undertake childcare. However, I am not talking about having a PhD in physics; I am talking about people aspiring to better their childcare qualifications, thereby improving their ability to deal with child development. That is all I am saying.

The third point of the terms of reference for the Department for Education’s review of the cost of providing childcare in England does indeed speak of sufficient quality of childcare. The fifth point refers to,

“the need to secure value for money for the taxpayer, and for the entitlement to be affordable to the public purse”.

In my view, the quality of care for children far outweighs value for money for the taxpayer. I understand accountability but I maintain that the first duty of childcare is quality for the child. Without that quality, all efforts to provide childcare are useless. Quality also impinges on parents going to work. Quality impinges on social mobility. No parent is going to place a child into poor-quality early years care or education. Indeed, surveys show that the top two requirements for parents are, first, location and, second, quality.

I note that many organisations share my concern. The National Association of Head Teachers states that the failure to address funding—the important issue raised earlier today—will compromise quality and that early years education, not just childcare, is essential in order to have an impact on child development. The Local Government Association talks of the danger of an underfunded system. The National Day Nurseries Association in its excellent analysis of this Bill is concerned about the threat of low pay and about recruitment and retention of staff. It suggests looking over the long term in a cross-departmental way at childcare funding and the development of a workforce strategy to improve quality. I agree.

The Special Educational Consortium has pointed out that 60% of parents with disabled children do not believe that childcare providers can cater for their child’s disability. It proposes that the Childcare Bill be amended to require the largest childcare centres to have an early years special educational needs co-ordinator. The Association for Professional Development in Early Years states that in relation to sufficient provision, quality of staff and the development of the health care and education plan is vital.

The importance of staffing could not be clearer. Skill and confidence in caring for and educating children with special needs are vital for the confidence of parents and the well-being of the child. In small settings, area special educational needs co-ordinators could be in place to advise parents and plan for health and education needs.

I hope that the Government will respond sympathetically to this group of amendments and ensure that quality of childcare is reflected in all their deliberations.

[Baroness Tyler of Enfield (LD)]

I speak to Amendment 23 standing in my name. In so doing I give my broad support to Amendment 11 in the name of the noble Baroness, Lady Massey, that covers similar ground. The policy statement on this Bill that we recently received stated that the workforce is the key driver of high-quality childcare. I agree—we probably all agree with that. I welcome the Government’s commitment to exploring career progression routes in 2016 and look forward to hearing more about these plans from the Minister. However, more needs to be done to support new entrants to the sector. This is the primary purpose of my amendment on minimum workforce qualifications.

The Affordable Childcare Committee felt that it was crucial to increase the proportion of staff qualified at a higher level in the private, voluntary and independent sector in order to drive up overall quality and improve outcomes for children. Setting a minimum qualification level for working with young children at level 3 was suggested by Professor Nutbrown during her review of early education and childcare. This would help to level the playing field and to ensure that where children grow up and live has much less of an impact on the quality of care and education that they receive than, sadly, is sometimes the case at the moment. It is telling that new evidence from Ofsted has identified that settings that have at least 75% of their practitioners qualified to level 3 achieve better inspection results. Indeed, the Nuffield Foundation recently reported on a strong relationship between the level of staff qualifications, the quality of provision, as judged by Ofsted and, most importantly of all, outcomes for young children.

The second part of my amendment is around disabled children. There is overwhelming evidence that parents of those children are struggling to access their current entitlement to childcare. Indeed, in 2014, the Department for Education found that only 40% of parent carers believe that the childcare providers in their area can cater for their child’s disability. Last year, the parliamentary inquiry into childcare for disabled children concluded that lack of staff skill and confidence was often the reason for parents,

“being subtly discouraged or simply turned away by a provider”.