Nursery Management: Funding - Make or break

Five years ago, the talk was almost exclusively about what is best for children, but the mood has changed,’ says Neil Leitch, chief executive of the Early Years Alliance. ‘And that’s because for many settings the bank manager is knocking. We have the opportunity to shape the life skills of children for generations in this sector, that’s what’s important, yet discussions about the needs of children run the risk of being secondary to the focus on business survival, and that’s not a place providers want to be.

‘The simple fact is that without money, you can’t deliver anything.’

The long-term underfunding of the early years sector (which Ceeda estimates will be £824 million in 2020/21) is prompting leaders to talk about an ‘existential crisis’. Paintpots owner and men in childcare campaigner David Wright says, ‘So many providers are currently saying they have no idea how they will survive once the minimum wage increase comes into effect. The £66 million increase committed by the Government [at the last Spending Review] is frankly insulting, as is the continued intransigence on their part to admit there is any issue when so many early years providers are struggling, with many closing.