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Petition calls on Government to make VAT zero-rated for early years settings

An early years consultant has launched a petition calling on the Government to make VAT zero rated for early years settings and replace funding for places with a new ‘support grant’.
A petition has been launched calling on the Government to set up a new support grant and make VAT zero rated for early years settings PHOTO: Screengrab
A petition has been launched calling on the Government to set up a new support grant and make VAT zero rated for early years settings PHOTO: Screengrab

The petition, which was started by Angela Jayne Andrea on 2 November, has attracted 76 signatures so far.

Within it she joins the Education Select Committee's call for VAT to be zero-rated for all early years settings, which she argues would ‘alleviate financial pressure on providers, allowing them to focus on providing excellent care and education.’

Last month, the Education Select Committee also recommended the Chancellor remove the requirement for early years settings to pay for business rates and VAT on purchases.

Andrea, who has 25 years’ experience operating nurseries, also proposes replacing the current funded childcare scheme with an Early Years Support Grant that would be means tested and ‘provide adequate funding to ensure quality education and care’ for children.

She said, ‘I have dedicated 30 years of my life to the early years sector, owning nurseries for 25 of those years. Over time, I've witnessed the continuous decline of this crucial sector due to long-term underfunding by the Government scheme. The current state is nothing short of a crisis that cannot be sustained.

‘Making VAT Zero rated for early years, as schools are, would have an instant positive impact on a nursery’s cashflow which could help raise the salaries offered. 

‘I can’t sit back anymore and keep watching things degrade.’

  • The petition is available here