Open

Latest news

Explore insightful perspectives and expert advice on finance

Home |Latest news |Childcare 'crisis' hurting economy, warns FSB

Latest news

Browse by category
Business News

Childcare 'crisis' hurting economy, warns FSB

March 09 2023

The Federation of Small Businesses (FSB) has warned the government that the ongoing childcare crisis is adversely affecting the UK economy.

The business group has urged Chancellor Jeremy Hunt to take 'proactive measures' in next week's Spring Budget to help more people obtain work.

It stated that childcare providers are currently facing insufficient funding and are therefore caught in a tough spot, having to choose between shutting for good or passing costs onto struggling parents and carers.

The FSB has outlined a five-point plan to combat the issue. The plan includes extending the current free childcare entitlement from 38 weeks to 45 weeks; giving nurseries in England 100% exemption from business rates; raising the UK's tax-free childcare allowance from £2,000 to £3,000; and matching employers who make discretionary contributions for childcare.

'It's time to reduce the burden on childcare providers and improve the affordability and accessibility of childcare for all parents,' said Tina McKenzie, Policy Chair at the FSB.

'Childcare businesses are in dire straits: trying their best to provide affordable services but end up taking a loss under government funded hours, shutting up shop completely or passing the costs onto already-stretched parents.

'We're pushing for changes to ensure more parents can access affordable childcare, allowing them to work and stimulate the economy without having to worry about high costs, and to help a childcare sector that's been put under huge pressure from under-provision of per hour funding from the government.'

The Chancellor will present the 2023 Spring Budget on 15 March.

Here to help

Please complete the form below and our expert team will be in touch.

  • Contact details

    • *
    • *

  • What services are you interested in?

    • *

  • Message

    • *

  • Which location would you like to contact?

  • Communication

    • *Indicates a required fields.†At least one form of contact is required.

      By submitting this form, you agree that Attwoods can process your information in order to respond to your enquiry. For more information visit our Privacy Policy.

Bromsgrove
Bromsgrove

Attwoods is proudly based in the historic market town of Bromsgrove, Worcestershire

  • 182 Worcester Road
  • Bromsgrove
  • Worcestershire
  • B61 7AZ
Call us01527 874170
Learn more about BromsgroveGet in touch
Evesham
Evesham

Attwoods is proudly based in the picturesque town of Evesham, Worcestershire; nestled in the heart of the Vale of Evesham

  • 90-92 High Street
  • Evesham
  • Worcestershire
  • WR11 4EU
Call us01386 424388
Learn more about EveshamGet in touch
Pershore
Pershore

Attwoods is proudly based in the Georgian market town of Pershore, Worcestershire.

  • Perrott House
  • 17 Bridge Street
  • Pershore
  • Worcestershire
  • WR10 1AJ
Call us01386 554870
Learn more about PershoreGet in touch
  • Xero Logo
  • Gold Partner Logo
  • Sage
  • QuickBooks Platinum

The practices of Attwoods are carried on by Attwoods Accountants Limited, Attwoods Business Services Limited, Attwoods (Bromsgrove) Limited. Regulated for a range of investment business activities by the Association of Chartered Certified Accountants.