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Costs soaring for all childcare places

The cost of places with nurseries and childminders in England has risen by almost double the rate of inflation, figures from the Daycare Trust's annual childcare costs survey show.

The cost of a nursery place for a child aged two and over has risen by 5.1 per cent and by 4.8 per cent for a child under two.

The average cost of a full-time (50 hours) nursery place in England for a child under two is £176 a week.

The gap between the cost of childminders and nurseries is narrowing, with costs for childminders rising by 9.2 per cent for a child aged two and over and 6.4 per cent for a child under two.

In London, childminders charge on average £104 a week for a child under two - just £5 less than a nursery place for a child of the same age.

While costs for nurseries in London and the south-east remain higher than elsewhere, they have not risen as much in the past year as other areas.

In the East Midlands and Yorkshire and Humber there was a 23.5 per cent and a 12.9 per cent rise respectively in nursery costs for children aged two and over.

The Daycare Trust's ninth annual childcare costs survey is compiled from figures from the Family Information Services in England, Scotland and Wales. It analyses by region the cost of childcare for childminders, nurseries and out-of-school clubs.

In the run-up to the general election, the Trust is urging all political parties to keep childcare high on the political agenda.

Its key recommendations include raising the proportion of childcare costs that the poorest parents can claim through tax credits to 100 per cent, extending the free entitlement for all two-, three-and four-year-olds to 20 hours a week by 2020, and more out-of-school childcare.

Chief executive Alison Garnham said, 'Over the last year, families across the UK have been hit hard by the impact of the recession - all of which is compounded further by childcare costs shooting up.

'We know that there are tough spending choices to be made. However, we hope that all parties will recognise what a central issue childcare is for parents, and take up our policy recommendations as they build their manifestos.'

Children's minister Dawn Primarolo said, 'The Daycare Trust report rightly highlights the huge investment the Government has made in early years provision. We will not let the improvements this has created slip away during difficult economic circumstances. We will continue to target financial support for childcare at the families most in need.'

CHILDCARE COSTS IN BRITAIN 2010 FOR 25 HOURS A WEEK
Nursery Nursery Childminder Childminder
Region (under 2) (2 and (under 2) (2 and
over) over)
London £109 £97 £104 £103
South East £106 £97 £95 £95
South West £87 £80 £86 £87
East of England £90 £88 £84 £84
West Midlands £77 £73 £71 £69
East Midlands £86 £84 £78 £76
Yorkshire & Humberside £84 £79 £80 £80
North West £76 £67 £69 £69
North East £75 £70 £82 £82
Scotland average £84 £78 £80 £79
Wales average £78 £79 £79 £80
Source: Daycare Trust