Government to crack down on on hidden childcare fees as Education Secretary demands 'fair deal for families'
Working families are feeling the pressure of unexpected upfront costs.
The Government has begun a clampdown on hidden childcare costs, including non-refundable deposits and even basic essentials like nappies and suncream.
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Education Secretary Bridget Phillipson has written to the Competition and Markets Authority to urge the independent body to make sure free childcare hours stay cost-free.
This comes as parents report being asked to pay extra to secure a place at nurseries via upfront deposits, as well as forking out for compulsory add-ons, or additional hours to access the 30 hours they are entitled to.
Nearly three quarters (72%) of parents say they are using savings to cover extra charges, and more than one in four (27%) say cost remains the biggest barrier to accessing childcare.
The Government has announced the launch of a new cost of living online tool, which includes reminders of Britons' rights to free childcare, as well as detailed maps of local childcare for parts of South West England.
The maps, which include details of local nurseries and childminders, will be rolled out nationwide later this year.
Phillipson has also written to the CMA to ask them to investigate the role that private equity is playing in the childcare market, and whether it could be driving up costs for those who depend on their local nursery.
The CMA is an independent non-ministerial government department, created in 2013 to promotes competition and protect consumers.
Education Secretary Bridget Phillipson said: "I grew up in a family that knew what it meant to count every penny. I am so proud of the crucial difference that 30 hours funded childcare makes to family finances, saving £8,000 a year per child on average.
“The vast majority of nurseries and childminders have been brilliant in helping us deliver, but I will not accept the small minority letting families down and stopping them get what they were promised,” she added.