According to the National Day Nurseries Association, the average nursery paid business rates of over £21k a year from April 2023, but costs can be higher. Even charitable settings only receive an 80% relief. We want all early years settings in England to be exempt from business rates.
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The Government is now funding around 80% of all childcare places in England. The Education Select Committee has recommended that all early years providers be given a 100% exemption from Business Rates and be zero rated for VAT. We believe a business rates exemption would recognise the crucial role private and voluntary nurseries have to play in delivering funded childcare. It should help support nursery sustainability and help providers put more resource into other parts of their settings. We think Business Rates for nurseries are grossly unfair.