Maintained Nursery Schools

Theresa Villiers Excerpts

Thursday 31st January 2019 Commons Chamber

[Theresa Villiers (Chipping Barnet) (Con)]

I am pleased to follow the hon. Member for Liverpool, West Derby (Stephen Twigg). Given that we are on opposite sides of the House there are many issues on which we disagree, but I very much endorse his comments on the importance of early years education. Like him, I point out that the research is very clear that those who fall behind in the first five years of life find it very difficult to catch up. Ensuring we have the best possible quality early years education is, as many hon. Members have stated, a hugely important engine of social mobility. That is at the heart of what we are discussing this afternoon: how we as a society ensure that we provide a good start in life, which comes with really high quality early years education.

Like other hon. Members, I would like to commend some of the maintained nursery schools in my constituency: Hampden Way, St Margaret’s and Brookhill. They have come together through the Barnet Early Years Alliance, or BEYA as it is known. They are given inspirational leadership by the headteacher Caron Rudge and huge support from their boards of governors, including the chair of governors, Liz Pearson. I would like to thank Mrs Pearson and Mrs Rudge for their briefing and their work on this crucial issue of finding a sustainable future for the maintained sector and ensuring that BEYA and its component schools have a secure future. I thank all my constituents who signed the petitions to save the maintained nursery sector, particularly those wonderful schools in my Chipping Barnet community. I look forward to presenting them formally alongside other colleagues next week.

It is very clear that the maintained nursery sector has particular strength in relation to the most vulnerable children in our society, those with special education needs and disabilities. They have a hugely valuable pool of experience and expertise. Losing such experience and expertise would have significant knock-on effects, both financial and social. Like others, I would like to emphasise that in coming together to find a sustainable future for the maintained nursery sector, support for children with special educational needs and disabilities must be at the heart of that.

[Vicky Ford (Chelmsford) (Con)]

My right hon. Friend is making some very clear points about the support that nursery schools in her constituency give, especially to those with special educational needs. In my constituency, I also have two excellent maintained nursery schools. I want to mention the Tanglewood Nursery School, which specialises in young children with speech and language challenges. It helps not only the children in its own school, but with other pre-school organisations right across Essex. Does my right hon. Friend agree that if we lost that support in our maintained nursery schools, it would risk knock-on impacts for others in other pre-school environments nearby?

[Theresa Villiers]

My hon. Friend makes a very fair point. I was going to come to that in my speech. We must find a long-term, sustainable role for the maintained nursery schools in the constituencies of everybody who has spoken. They are potentially beacons of excellence, centres of training and places that have an impact on the whole locality, in terms of raising standards in the pre-school sector. That is an important part of the solution.

We all recognise that there are limits to what the taxpayer can afford, and it is vital that we take care when deploying taxpayers’ funding. We must ensure it is used appropriately. One of the most difficult things for a Government to do is to assess which priorities can be funded and which cannot. As others have said, the funding situation for the maintained sector is becoming very grave, so we must find a solution that saves those schools. Local authorities simply cannot fill the gap, as their funding is under pressure, too, because of the continuing consequences of the very serious deficit that we inherited from the previous Labour Government. Although many local authorities across the country, including my own in Barnet, are doing their best to find ways of supporting the maintained sector, that will not be a solution on its own.

[Karen Lee (Lincoln) (Lab)]

The right hon. Lady just referred to a deficit left by the previous Government, but does she agree that funding nursery schools should be a higher priority than giving wealthy people tax cuts?

[Theresa Villiers]

Of course, funding for nursery schools should be a priority, and I am here to make the case for that. We also need a competitive tax system, and reductions in corporation tax, for example, have led to increased revenue. There is a balance to be struck. We need a competitive economy that attracts investment, and reasonable levels of business taxation are an important part of that. They help to generate the revenue that funds our schools. I do not agree with the sentiment of all of what the hon. Lady said.

BEYA has not stood still and failed to take action. It has gone to great lengths to carve out a new role for itself and has looked for other sources of funding. It is working with children’s centres and on training programmes, but it is still in great difficulty. Frankly, a crunch is coming for its funding and that of other maintained nursery schools. If nothing is done, the threat of closure will become greater and greater. That is why I am here today to appeal to the Minister.

My understanding is that, when the transitional funding was announced a few years ago—I am grateful that the Government chose to do that—it was supposed to give the maintained sector a breathing space, during which time the Government would work with it to develop a new, sustainable role for it. Essentially, as I have already adverted to, nursery schools would become centres of excellence, beacons for the surrounding area and centres of training. That would ensure that they play an outstanding role in the wider early years sector and provide support across the whole range of early years providers. The idea was to provide temporary transitional funding until that new role was settled to put the maintained sector on a sustainable footing for the future.

Time is now running out, and, like others, I appeal to the Minister for an extension of that transitional funding for settlement of that new role to secure the long-term future of the maintained sector and the children whose lives it transforms, and to ensure that in the spending review there is space to save these wonderful schools that so many Members have talked about this evening with such warmth and praise. I believe that this is the important next step to take: first, an extension of the transitional funding; secondly, an agreement on the long-term role of the nursery sector; and, thirdly, a recognition in the spending review that we need to fund these schools for the long term.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Education (Nadhim Zahawi)]

I congratulate the hon. Member for Manchester Central (Lucy Powell) on securing this important debate. We have had 13 excellent speeches from the Back Benches, including from my hon. Friend the Member for Chichester (Gillian Keegan), the hon. Member for Liverpool, West Derby (Stephen Twigg), my right hon. Friend the Member for Chipping Barnet (Theresa Villiers), the hon. Member for Cambridge (Daniel Zeichner), my hon. Friend the Member for East Worthing and Shoreham (Tim Loughton), the right hon. Member for East Ham (Stephen Timms), and the hon. Members for Birmingham, Erdington (Jack Dromey), for Heywood and Middleton (Liz McInnes), for Lincoln (Karen Lee), for Reading East (Matt Rodda), for Bristol North West (Darren Jones) and for Strangford (Jim Shannon).

The common thread among all of them is that MPs from all walks of life have real knowledge of their maintained nursery schools; I totted it up, and they must have spoken about at least 25 maintained nursery schools, in itself a pretty robust sample if anyone ever needed one. What today’s debate has highlighted is Parliament at its best, coming together on an important issue.

The hon. Member for Manchester Central and I have corresponded on these matters on several occasions. I have obviously visited a number of maintained nursery schools and have met the kind of headteachers that many colleagues have spoken about, and so have seen the leadership, passion and commitment that headteachers deliver in maintained nursery schools. She will know that I absolutely understand and support the role of maintained nursery schools in giving some of our most disadvantaged children the best possible start in life. It has been heartening to hear the overwhelming support today for these wonderful institutions, which in many cases have been working at the heart of their communities for decades—certainly well before this rookie MP and Minister got to this place. I also want to thank the hon. Lady for her work in leading the all-party group that has done so much to raise the profile of maintained nursery schools and the challenges they face. I am pleased that we are having this debate today.

This Government’s ambition is to provide equality of opportunity for every child, regardless of background or where they live. High-quality early education is the cornerstone of social mobility, and the evidence shows that it particularly benefits the most disadvantaged.

I am proud of what this Government are doing on early years. We have extended free childcare for three and four-year olds in working families to 30 hours a week. We are providing 15 hours of free early education for the most disadvantaged two-year-olds; since its introduction in 2013 over 700,000 have benefited from that entitlement. We have also introduced tax-free childcare, and by 2020 will be spending around £6 billion a year on childcare support. We have also made good progress on the take-up of early years entitlements, with 71% of eligible two-year-olds, 93% of three-year-olds and 96% of four-year-olds benefiting from some funded early education.

Childcare providers have done a fantastic job in responding to our ambitions and helping us to deliver our reforms. Thanks to the dedication of early years practitioners up and down the country, 95% of early years providers are now rated by Ofsted as either good or outstanding, and the percentage of children achieving a “good level of development” has improved every year since 2013. Over that same period, the gap between children in receipt of free school meals and their peers in terms of outcomes aged five has narrowed by 1.7%. However, too many children still fall behind in early years, and it is hard to close the gaps that emerge in that period. Some 28% of children still finish their reception year without the early communication and reading skills they need to thrive. That is why we set a bold ambition to halve that number by 2028.

Maintained nursery schools have played an important role, and their part in this is not to be underestimated in helping to achieve this ambition, not only in giving direct support to children but in sharing their skills and expertise for the benefit of the wider early years system; we heard that from many colleagues who described how they operate in their local community. They are a small, but important, part of that system. They currently provide around 4% of the universal entitlement hours for three and four-year-olds, and the best of them punch way above their weight in other areas as well. We know, for example, that they take greater proportions of children with all levels of special educational needs than any other providers; that, again, was highlighted in today’s debate. I have seen for myself the great work they do, including at the Lanterns nursery in Hampshire and the Rothesay nursery school in Luton. The dedication and passion of their staff are truly inspiring.

I know that there is uncertainty over the future—we heard that loud and clear today. The current arrangements that protect maintained nursery school funding, which provide nearly £60 million of additional funding a year, are due to end in March 2020. This supplementary funding was a temporary arrangement to ensure that maintained nursery schools did not miss out when we introduced the early years national funding formula, and we need to decide what should happen once that supplementary funding ends. Our intention has been to look across the evidence and to resolve this question as part of the spending review negotiations. No maintained school yet knows its funding after March 2020—a fact that came across loud and clear from many colleagues today, including the right hon. Member for East Ham. That is a difficult place for the schools to be; I am aware that, on average, the supplementary funding for maintained nursery schools accounts for about a third of their budget. Their anxiety is understandable, and funding for the summer term of the 2019-20 academic year is clearly focusing minds.

In resolving questions of future policy, this Government are committed to making evidence-based decisions. This has always been a challenge in regard to maintained nursery schools because there are fewer than 400 of them and they have a wide range of delivery models, so it is difficult to include them in broader early years studies. There is research on quality in the early years, including stand-alone local studies of outcomes and national data about the children who use nursery schools, but together they do not definitively demonstrate the value that maintained nursery schools offer. The methods used in local studies vary, and many studies do not take account of other factors that have a crucial influence on a child’s outcomes, such as the home learning environment.

To fill some of these evidence gaps and improve our understanding of maintained nursery schools, we commissioned further research last year to explore their services, costs and quality, compared with other providers. We wanted to look for the first time across the entirety of the services they offer in order to understand them better. I want to thank the maintained nursery schools, local authorities and others who participated in that research; we will be publishing it very soon.

[Theresa Villiers]

I warmly welcome the research that the Minister is talking about, but I am afraid that the clock is ticking. We need to plug the funding gap soon, otherwise more of these schools are going to start closing down.

[Nadhim Zahawi]

I am grateful to my right hon. Friend for that intervention. That message has come across loud and clear today, and this is something that we are very cognisant of.