Families face £1,400 a year hike in childcare costs

28th Nov

The increasing pricing within child care and the resulting effects, such as parents having to choose between work and staying at home due to the huge increase in pricing. As a result poorer families will be left out of the social and educational benefits that childcare offers.

 

Families face £1,400 a year hike in childcare costs

 

  • Families are set to see childcare bills rise by up to £1,400 a year by 2015 because of soaring prices and reduced state support, a study shows.
  •  forced to consider giving up work to care for their children themselves because of the squeeze.
  • poorer families would be worst hit proportionally with a 62 per cent rise in the amount they will have to pay out.

It shows that by 2015 the amount a family with a total household income of just £20,000 a year pay towards childcare will have seen a rise of £600 a year compared with the bill in 2006, when state support was at its height.

For a middle income family with average childcare needs the rise would be £900 a year – or 25 per cent – between 2006 and 2015.

Those in a higher income bracket are expected to face a rise of 42 per cent – or £1,400 a year.

 “Paying for high quality formal childcare is already a struggle for many parents, and affordability has been declining since 2006. But the triple whammy of the ever increasing ‘ticket price’ for childcare, cuts to childcare support in the tax credit system, and the freeze in the value of childcare vouchers risks making formal childcare a luxury that many families will no longer be able to afford. This will put parents in an impossible position, forcing many to choose between going to work and incurring a large childcare bill, or staying at home. As well as having a detrimental impact on family budgets and on the labour market, these trends will price the poorest children out of the considerable social and educational benefits offered by quality formal childcare.”

Ian Mulheirn, director of the SMF

http://www.telegraph.co.uk/news/politics/8918858/Families-face-1400-a-year-hike-in-childcare-costs.html

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: