Friday, November 22, 2019
Home Society Childcare costs rising three times faster than wages

Childcare costs rising three times faster than wages

TUC analysis shows that childcare fees for nursery age children have increased by 52% per week since 2008.

Families are increasingly finding it more difficult to cover the rising costs of childcare in England, a shocking analysis reveals, as research by the TUC finds childcare fees have risen three-times faster than average earnings since before the financial crisis.

TUC analysis shows that childcare fees for nursery age children have increased by 52% per week since 2008, while working parent’s wages have only risen by a measly 17% over the same period.

Lone parents have been hit even harder, with a single mum or dad working full time faced with a seven-fold increase compared to take home pay.

Average childcare fees in England for nursery age children are now £236 a week for a child under 2 in nursery, compared to £159 in 2008, and £232 a week for a child over 2 in nursery, compared to £149 in 2008.

The analysis shows that despite improved Government support, such as free nursery hours for some working families and the new tax-free childcare scheme, hard-up parents are still facing substantial childcare costs.

For example, for parents with a 3-year-old and a 1-year-old:

  • A family on average earnings (with a parent working full-time and a parent working part-time) have to more than £4,700 a year to cover fees.
  • A low-income working family (with a parent working full-time and a parent working part-time) needs to find nearly £2,000 a year.
  • A single parent on average earnings (working full-time) pays just over £6,000, and;
  • A single parent on average earnings (working part-time) has to fork out £1,900.

TUC General Secretary Frances O’Grady said: “Working parents have seen childcare fees rocket, as their wages have stagnated.

“Despite government support families still face eye-watering nursery bills. Britain’s cost of living crisis is having a huge impact on working mums and dads.”

Ellen Broomé, from Coram Family and Childcare, said: “Successive governments have rightfully invested in childcare but, while this investment has been welcomed, many parents remain frozen out of work because of high childcare costs,

“We know that high quality childcare boosts children’s outcomes, benefits the economy and allows parents to make genuine choices about work and care. But in the last year alone, childcare costs have risen by 7%.

“Urgent action is needed to make sure all parents are better off working after paying for childcare.”

Follow Us


Trending Now

A homeless person dies every 19 hours in austerity Britain

Services are failing to protect homelessness people, say campaigners.

UK pensioners ‘suffering the worst poverty rate in western Europe’

Tories warned against further rises to the state pension age.

Benefit payment dates over Christmas and New Year 2019-20

You may receive benefit payments early over Christmas and New Year. Check here to see if this applies to you and your family.

Benefit claimants told to fork out £1400 to record disability assessments

Disabled people told to pay for expensive specialist equipment if they want benefit assessments to be recorded.

‘Pensionless Pensioner’ Brands UK Government Most Brutal ‘Regime’ In Living Memory

Woman stripped of her right to state pension says the UK Government doesn't care whether vulnerable people live or die.

More News

Carers missing out on £1.5bn in unclaimed benefits

Unpaid carers urged to check their benefit entitlement.

General Election 2019: What are Labour’s plans for social security and pensions?

Find out how Labour's plans for social security are very different to what we've seen over the last decade.

Labour declares ‘war on poverty’ and pledges to scrap Tory welfare reforms

Tory austerity has entrenched poverty and destitution across Britain, say Labour.

Disabled man found dead at Jobcentre within months of being declared ‘fit for work’ by the DWP

Campaigners have called for benefit assessments to be suspended after the man's sudden death.

800,000 more children from working households pushed into poverty since 2010

Labour says the Conservatives and Liberal Democrats "should hang their heads in shame".

Follow Us


More Articles Like This