Question to the Department for Education:

To ask the Secretary of State for Education, what estimate she has made of the average increase in childcare costs by region in 2022.

The Childcare and Early Years Provider Survey 2022 provides information on childcare fees, overall and by region, and can be found here: https://explore-education-statistics.service.gov.uk/find-statistics/childcare-and-early-years-provider-survey. The survey suggests that the mean hourly fees were highest in London, followed by the South East and East of England. They were lowest in Yorkshire and the Humber and the North East.

The Providers’ finances: Evidence from the Survey of Childcare and Early Years Providers 2021 report contains information on provider finances, and can be found at: https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1071812/Frontier_-_SCEYP_2021_Finance_Report.pdf. This report contains information on how much of a percentage providers spend on ‘other’ costs. The ‘other’ category includes spend on energy costs as well as other factors. The report does not break the ‘other’ category down further into provider spend on only energy costs or only inflationary costs.

The department recognises the impact that rising energy prices can have on businesses, the voluntary sector and public sector organisations of all sizes, including all early years settings. The energy regulator Ofgem and the Department for Business, Energy & Industrial Strategy are in regular contact with business groups and suppliers to understand the challenges they face and to explore ways to protect consumers and businesses.

In September 2022, the government announced unprecedented support to protect households and businesses from high energy prices. The Energy Price Guarantee and the Energy Bill Discount Scheme, the successor to the Energy Bill Relief Scheme, are supporting millions of households and businesses, including Early Years settings, with rising energy costs until 31 March 2024.