Select committee: Education Committee

Recommendation 13

Fifth Report - Support for childcare and the early years Published 26 Jul 2023 Paragraph 96 Addressed to Department for Education
Recommendation (the committee's words)
We recommend the Government develop better support for parents who choose to stay at home with their children. For example, HMRC could explore ways to frontload child benefits to give parents more support in the early years when the economic and social impact of childcare is highest. The Department for Business and Trade could also consider expanding parental leave allowances.

From: Education Committee, Fifth Report - Support for childcare and the early years (HC 969), paragraph 96, 26 July 2023

Government response

The government responded to the whole report on 17 October 2023 (deadline 26 September 2023).

Summary written by Accountability Index from the government's response. It is not the government's own words.

The Government welcomes the Committee's report and says it is "in full agreement" on the value of childcare and early education, agreeing with some recommendations and declining others, such as VAT and business rates changes.

  • On childminders, it says amendments to the Levelling-Up and Regeneration Bill, which it expects to "come into effect from autumn 2024" pending Royal Assent, will raise the number who can work together from 3 to 4 and allow work on non-domestic premises.
  • On business rates and VAT, it states it "currently has no plans to make changes" to business rates support for early years businesses or the nursery VAT exemption.
  • On local authority funding, it says it intends to increase the minimum pass-through rate from 95% to 97% "once the roll-out of the new entitlements is sufficiently progressed", and will keep the timing "under review".
  • On the 30-hours reconfirmation period and funded hours for related childminders, it states there are "no plans at this time" to change eligibility checks and "currently no plans to change" the family-childminder position.

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