Early Years Childcare

Taiwo Owatemi Excerpts

Monday 16th October 2023 Commons Chamber

[Taiwo Owatemi (Coventry North West) (Lab)]

I thank the hon. Member for Worcester (Mr Walker) for securing this important debate, and I welcome my hon. Friend the Member for Selby and Ainsty (Keir Mather) to his place. I commend him for his outstanding maiden speech—he has made his constituents very proud tonight.

Throughout this cost of living crisis, countless nurseries in my constituency of Coventry North West have struggled to keep up with ever-rising prices. At Georgie Porgie’s pre-school, Katie, the director, fought to keep her nursery open after her utility bills tripled. She was lucky and was able to save her business, but countless other nurseries across the country have been forced to close. We need only look in the faces of the nursery workers who have lost their jobs, and their security, to see that our current system is failing. The inadequate levels of state funding offered per child leaves nurseries to struggle with insufficient funds and inadequate support.

The system fails not only our nurseries, but the parents and carers who use them. Closing nurseries means less space for their children, packed waiting lists and longer morning commutes. But a financially struggling nursery almost always means a rise in fees. It is not surprising that Britain now has the third most expensive childcare system in the world, with more than one in five households spending more than half their income on it. For women who wish to return to work soon after the birth of a child, those costs crush their aspirations. Three in four mothers say that childcare fees are so significant financially that their best option is to stop working altogether. I know from speaking to many families on the doorstep that this is an issue that many of them raise with me. Our system hinders the opportunities and, ultimately, the freedom of women who wish to return to work, and we cannot continue to allow that to happen.

I strongly support my hon. Friend the Member for Washington and Sunderland West (Mrs Hodgson) in her plan for an extensive review of the system. I believe that any reform we implement must move us closer to the examples of countries such as Finland or Estonia, where there is a better-funded, expanded system of care. As the shadow Secretary of State has suggested, that should involve empowering local councils to deliver their own childcare, filling the gaps in provision. But it should also include more substantial grants offered to nurseries, which could stabilise the industry, while also potentially adopting a Finnish-style tiered system, where each family’s fees are far more closely linked to their income.

While I welcome the Government’s plan to expand childcare provision to children as young as nine months old, those changes are simply not enough to tackle the challenges in our system. If we seriously wish to give our businesses and parents a system that works, we have to go for far more substantial reforms. Sticking-plaster solutions just will not work. I urge this House not to turn a blind eye to our childcare system, but to press ahead with the meaningful, long-term changes that this country desperately needs.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I will call Jim Shannon, but I do need him to sit down at 9.44 pm so that I can bring in the Front-Bench speakers.