Free Childcare for 3 and 4-year-olds

Debate between Sam Gyimah and Charles Walker

Tuesday 12th July 2016 Westminster Hall

[Mr Gyimah]

What I can say firmly is that the Government will bring about funding reform imminently to create a system that is transparent to local authorities and fair to all early years providers. Part of the package introducing the 30 hours will be wholesale reform of early years funding. That was mentioned in the spending review and the autumn statement, and that reform is imminent. We will consult on that to seek views on our proposals from across the early years sector. We already listen to the sector in a number of other ways to ensure the funding works. Our red tape challenge is looking at bureaucracy and barriers. We have consulted on ensuring that providers are paid on time, which has been raised specifically by childminders in many areas, and on making local authority contracts with providers more consistent across different parts of the country.

We are looking at the local authority role in building on the success of the existing 15-hour entitlement. Rolling out that manifesto commitment is an opportunity to improve the way the system works on the ground. We received over 1,300 responses to our recent consultation on key elements of the operation and delivery of the extended 30-hour free entitlement from a wide range of childcare providers, local authorities and parents. Crucially, those views will help to inform how the 30-hour entitlement will be delivered at local level. We will publish our response to the consultation in the autumn ahead of affirmative debates in the House and the other place on the regulations of the Childcare Act 2016.

I hope I can assure the House first that a record amount of funding is going into the sector. Secondly, in terms of how that funding is distributed, we are looking at wholesale reform and will be publishing our intentions, on which we will be consulting the sector, imminently. Thirdly, we are looking to reform how local authorities work with providers and will consult on that as well. Much of the disquiet around the 30-hour commitment and its implementation is from a number of people who are assuming that we will be following through with the system as it is, but we are going to reform the entire system to underpin the fact that, if the Government are going to be the biggest buyer of childcare, the old system will not work. That is because it was based on just 15 hours a week, which was a limited offer. If we are to move to 30 hours a week, we need to ensure the system we are operating in is fit for purpose.

The hon. Member for Bristol South also mentioned the high cost of childcare. The Family and Childcare Trust is the guru when it comes to childcare costs. I look forward to its childcare costs report with a degree of trepidation every year because I know I will have to tour the TV studios if the report says the cost of childcare is getting out of control. The most recent report showed that childcare costs, which had risen for the best part of a decade, are stabilising and only rose in line with inflation in 2015.

The principle here, and the reason why the Government are introducing the 30-hour commitment, is precisely to help parents with the cost of childcare, but the available support to parents does not only come in the form of the 30 hours. We will be introducing other childcare measures such as tax-free childcare, which will give parents 20% off the cost of childcare up to £10,000. If they spend £10,000 they will get £2,000 off the cost of childcare, so a parent buying in excess of 30 hours of childcare will get 30 hours free and 20% off for anything over those 30 hours—obviously, that is for three and four-year-olds. Other parents on the lower end of the income scale will get additional support through universal credit.

I hope the hon. Lady will appreciate that a substantial amount of support goes to parents for childcare, but she is right that we need to make it simple for parents. The issue is that there are multiple areas of support for childcare that are parented by different Government Departments and there is a need to stitch those together. That is what the cross-governmental childcare taskforce is looking at, so that parents do not have to go to three or four different places to try to figure out which childcare offer works best for them. There will be one portal and one port of call from which they will be able to access childcare.

The issue of cross-subsidisation was also mentioned and it is particularly important from the provider perspective. A lot of providers have been content with the free 15 hours almost as a lead generation aspect of their business, so parents get 15 hours free and then have to buy additional hours for which the providers can charge a lot more. One of the things the funding reform will specifically look at is to price this in such a way that there is every incentive for providers to actually offer parents free hours, rather than thinking that they will opt out of it. The truth of the matter is that providers do not have to offer that, but parents will be looking around for providers that can. The Government have to set a price that brings the buyers and sellers in that market together and the cost of childcare review gives us a strong basis from which we can and, I am sure, will, get that right when the funding review is published. It is an issue that we are alive to.

Another point is that, with so much subsidy going into the sector—

[Mr Charles Walker (in the Chair)]

Order.

Voter Engagement

Debate between Sam Gyimah and Charles Walker

Thursday 5th February 2015 Westminster Hall

[Mr Gyimah]

I am sorry; I can take no further interventions.

We also recognise that a number of national organisations do great work in getting people to register to vote. Bite the Ballot has been mentioned, but the British Youth Council also does good work, as do UK Youth, Mencap, Operation Black Vote, Homeless Link, Citizens UK and Citizens Advice.

The work of those organisations and of the local authorities will help us to reach the very groups that the Opposition have identified as being at risk of falling off the register. If some grand conspiracy were going on, we would not be investing money with those groups and with the National Union of Students to get people on the register. There is nothing cynical going on and no conspiracy. Whenever we introduced IER, at some point we would need a cut-off date and an effort to maximise the register. We cannot get away from that fact.

Of the points made in the report, the first I will deal with is the one about electronic voting, which comes up over and over again. I am sure that some time in my lifetime we will have electronic voting, but it took us long enough to deal with registration. We have to recognise some of the practical difficulties, however. Furthermore, the introduction of increasing process into the electoral system, whether electronic and weekend voting or same-day registration, does not address why people are disillusioned with politics.

Scotland had a huge turnout in the referendum without electronic voting. The reason was that people were motivated, excited and engaged with the issues. Introducing more electoral innovation might make voters’ lives easier, but it is not a substitute for us politicians doing our work to connect properly with people, to engage with them and, after all, to get them to turn out to vote for us.

Countries where electronic voting has been introduced—France has it for overseas voting, for example—do not necessarily achieve an increase in turnout, but, rather, an increase in turnout among certain groups of people. Overall, electronic voting does not drive an increase in turnout. That is not to say that it is not a good thing to explore—it is—but, practically speaking, in the UK we would need a system of authentication. When people turned up to vote, we would have to be able to identify them and instantly verify that so that they could vote. We do not have identity cards in this country. Some countries that have introduced electronic voting have ID cards, which is why they have been able to implement it. There are big practical challenges.

Votes at 16 also came up over and over again. There is significant scope for debate about that, especially given what happened in Scotland. Among the reasons why there is scope for debate is that 16-year-olds can join the armed forces. However, they cannot fight without parental support, and nor can they get married—there is a lot that they cannot do. If we were to give 16-year-olds the right to vote, we would have to ensure that, for example, they did not have to ask their parents which way to vote; only with parental permission can a 16-year-old serve in the forces.

I made this point in the debate yesterday, but it is striking that the very party that wants to give 16-year-olds the vote is the one that does not trust them to navigate the vagaries of individual electoral registration and says that somehow they would not have their national insurance numbers or—[Interruption.] It is a serious point. If the Labour party believes that 16-year-olds are old enough to vote, it has to believe that they are old enough to register themselves to vote in the first place.

[Mr Charles Walker in the Chair]

That brings me on to some of the registration techniques suggested in the report, such as block registration. The Government’s guidance to universities strikes the right balance between giving EROs the information that they need—that is, enrolment data, so that they can go after students, because they know who they are and can chase them, write to them, knock on doors and get them on to the register—and preserving the fundamental tenet of individual electoral registration, which is that individuals have to register themselves.

If we cross the line where people end up on the register, but they have not been engaged in the process—that is, they do not even know that they are on the register, because the warden of the college put them on it—we breach the principle of individual registration. If we breach it for first-year students, what about ethnic minorities, or—

[Mr Charles Walker (in the Chair)]

Order. I am sorry to interrupt, but will the Minister finish in about a minute, to allow Mr Allen to wind up the debate?

[Mr Gyimah]

Thank you for prompting me to sum up, Mr Walker.

What about ethnic minorities—those who do not speak English or those who have not worked and so do not have a national insurance number? We could make so many exceptions. That is why, whatever we do, we should not breach the fundamental principle.

The work of the Political and Constitutional Reform Committee is excellent and welcome. I also welcome the fact that the Committee continues to look forward to ways in which we can renew our democracy.

Future of CDC

Debate between Sam Gyimah and Charles Walker

Thursday 14th July 2011 Westminster Hall

[Mr Gyimah]

I thank the hon. Gentleman for his point. I totally agree that the British public need transparency about how the organisation is run. However, the success or failure of the fund’s operations also depends on such details.

I want the Secretary of State to clarify the points that I have raised. Let me say once again what a pleasure it is to serve under your chairmanship, Mr Walker.

[Mr Charles Walker (in the Chair)]

I call Miss Ali. [Interruption.] Sorry, Mr Lefroy—it would be helpful if Members could stand so that I can see that they want to speak.