Childcare Reform Package

Sara Britcliffe Excerpts

Wednesday 28th June 2023 Commons Chamber

[Claire Coutinho]

I am grateful to my hon. Friend for taking to me to Bright Horizons in Didcot, which was a useful visit. Local authorities have different rates. We will set out funding rates before the summer, and will consult on them. We take different costs across the country into account, but he makes an interesting point.

[Sara Britcliffe (Hyndburn) (Con)]

I warmly welcome the Minister’s announcement and thank her for all the work that she has done for childcare providers. I was going to raise the point made by my hon. Friend the Member for Winchester (Steve Brine) about business rates. Will the Minister explain what help she is giving to local authorities to help providers deliver the expanded childcare offer to parents?

[Claire Coutinho]

At the moment, the way the policy works is that providers have to pass on at least 95%, and can keep 5%, of the funding rates that they are given. Most pass on more—from our returns, most pass on 97%—but they can use the additional money for the administration of payments and such.