Create an independent early years funding review

Summary

We ask Government to establish an Independent Early Years Funding Review Body. Similar to the School Teachers’ Review Body, it could take evidence from providers, parents and experts and recommend fair funding rates based on actual costs, not political decisions, for the Government to respond to. We believe that for too long, childcare funding rates have been set by HM Treasury and the Department for Education to meet policy goals, not providers’ real costs. When the Childcare bill 2016 was drafted it at one stage included an independent review, but this was removed before Royal Assent. We think the result has been chronic underfunding, nursery and childminder closures, and instability for families. Early years is the foundation of education and deserves the same independent, transparent process as teachers’ pay.

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