The DWP has announced a series of changes to childcare funding rules aimed at reducing costs for working parents.
According to Devon Live, the new regulations, set to take effect in April, will target compulsory fees charged by childcare providers for government-funded hours.
Authorities will also introduce greater transparency in nursery pricing structures to ensure parents are fully informed about costs.
New Restrictions on Childcare Fees
Education Secretary Bridget Phillipson confirmed that from April, childcare providers will be banned from imposing mandatory charges on government-funded hours. The new statutory guidance aims to prevent additional fees for essential services, such as nappies and meals, which many providers currently add as extra costs.
Under the revised rules, local authorities will be responsible for ensuring compliance. Providers found violating the guidance could face penalties, though specific enforcement measures have yet to be detailed.
Increased Transparency in Pricing
In addition to fee restrictions, new measures will require childcare providers to publish clearer breakdowns of their pricing. From January, nurseries and other providers will need to explicitly state that charges for government-funded hours are voluntary, preventing hidden or misleading fees.
Phillipson emphasised that the changes are intended not only to reduce costs but also to provide parents with greater clarity and consistency. She described current practices as unacceptable, noting that many parents struggle to understand what their childcare fees cover.
Who Is Eligible for Government-Funded Childcare?
The government offers free childcare to eligible parents of children aged nine months to four years in England. Eligibility depends on several factors, including the child’s age and circumstances, the parent’s employment status and income, and their immigration status.
Approved childcare providers include registered childminders, nurseries, nannies, playschemes, and home care workers, all of whom must be registered with Ofsted or an equivalent childcare agency.
Parents can check their eligibility and apply for funded childcare via the official government website.
Approved childcare providers include registered childminders, nurseries, nannies, playschemes, and home care workers. All providers must be registered with Ofsted or an equivalent childcare agency.
Parents can check their eligibility and apply for funded childcare via the official government website.
