Source · Select Committees · Women and Equalities Committee
Recommendation 36
36
Deferred
Childcare availability and affordability are crucial for increasing female entrepreneurship rates.
Recommendation
The availability and affordability of childcare must be addressed to increase entrepreneurship rates among women. Making childcare more easily available and affordable would benefit the founding, performance and persistence of female-led businesses, while being vital for reconciling work and family demands and promoting individual wellbeing. (Conclusion, Paragraph 137)
Government Response Summary
The government has deferred a comprehensive response, stating the Department for Education will lead a review of childcare provision to simplify the system. The response also highlights existing initiatives like Tax-Free Childcare and the expansion of government-funded childcare, and mentions future plans for nannies will be set out in the coming months.
Government Response
Deferred
HM Government
Deferred
As set out in the Budget, the Department for Education will lead a review of childcare provision. The purpose of this review is to simplify the system for providers and families, making it easier to access childcare and increasing the overall impact of the government’s offer. We are committed to a childcare system that is clear, fair and helps parents balance work and family life. Tax-Free Childcare (TFC) reduces the cost of childcare so that parents, including those who are self-employed, can enter work, stay in work and increase their hours. Under the scheme, for every £8 paid into an account by parents, the Government contributes an additional £2, up to £2,000 per child per year (or £4,000 for disabled children). Support is available until the child reaches age 11, or age 16 if disabled, for families who meet the same income criteria as the Free Childcare for Working Parents offer. TFC can pay for a wide range of approved childcare, including childminders, nurseries, nannies, after-school clubs, play schemes and holiday clubs, ensuring support is flexible and can be adapted to families’ different circumstances. In 2026–27 the Department for Education expect to provide over £9.5 billion for the early years entitlements. More than doubling government investment in the early years sector since 2023–24 through the successfully rolled-out expansion of government-funded childcare for working parents, which will save parents up to £7,500 a year on average. We want all parents with primary-aged children, who need it, to be able to access childcare around the school day. This is why the National Wraparound Childcare programme has improved the availability of childcare so that many more parents have been able to access before and after school childcare, from 8am to 6pm, without them needing to make alternative arrangements. We also recognise the hugely important contribution nannies make to the childcare sector. While we do not currently plan to regulate nannies, as they are employed by parents at home and therefore are an unregulated part of the sector, over the coming months we will set out our plans for reform, including for nannies. Officials will remain in touch with the National Nanny Association (NNA), and we are following with interest the NNA’s petition on the Parliamentary website regarding DBS checks for nannies.