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Many children who would benefit most from early years childcare may be missing out, experts have warned, as the government-backed free childcare rollout reaches its final stage.
From 1 September, eligible parents can claim 30 hours of free childcare a week for any number of children. This applies to most working parents who earn up to £100,000 a year.
There is also a minimum earnings limit of £9,518 that at least one parent must be earning, which the Coram Family and Childcare charity says is causing many to miss out.
This can not be made up using income from Universal Credit income, although parents who claim certain health or disability-related benefits will generally be eligible.
The charity is now calling on the government to deliver a universal right to 30 hours of funded early education for all children to “remove the current inequality for disadvantaged children, reduce confusion and complexity for parents and facilitate work”.
Analysis from the group finds that those who do not earn enough to be eligible are having to pay £205 a week on average for the same amount of early education for a child under two.
It adds that a child of working parents can expect to receive three times as much government-funded early education than disadvantaged children by the time they start school.
This is important as “high-quality early education boosts children’s outcomes in childhood and beyond,” the charity said, “while also enabling parents to work or train, thereby improving circumstances for themselves and their children”.
It added: “The benefits of early education for children are especially significant for children from disadvantaged backgrounds.”
Under current rules, lower-income families can get 15 hours of funded early education for their two-year-olds, while all parents of 3- and 4-year-olds are eligible for 15 hours regardless of income.
Parents on Universal Income can also claim up to 85 per cent of childcare costs back, at a maximum of £1,031.88 for one child or £1,768.94 for 2 or more children. This must be paid upfront by parents, a stipulation that Coram says makes it “inaccessible” for many.
The charity’s report says that “the gap between entitlements for disadvantaged children and those with working parents is wider than ever before.”
“Families wanting to bridge this gap and give their child the same opportunity of early education, will need to pay hundreds of pounds per week. This will be simply unaffordable for many families in these circumstances.”
“There is no question that support with childcare costs for working parents is needed, and very welcome, but focussing support in this way gives less early education to children who stand to benefit from it the most and risks widening the disadvantage gap.”
A Department for Education spokesperson said: “From today, hundreds of thousands of families will start accessing 30 hours government-funded childcare, saving parents up to £7,500 a year, per child.
“No child should be missing out on vital early education when they don’t have to, which is why our Best Start in Life Strategy commits to delivering a simpler childcare system that is easier for families to navigate.
“Through our Plan for Change, we are putting pounds back in parents’ pockets from all backgrounds by limiting the number of branded uniform items, expanding free school meals to every family on universal credit and rolling out free breakfast clubs across the country.”
