The first tenuous steps have been taken by the Government towards recognising nannies, with the introduction in April of its 'light touch'
Childcare Approval Scheme.
From this month nannies can apply for approval to show that they have undertaken appropriate training, have passed an enhanced Criminal Records Bureau (CRB) check and hold the required first aid certificate. Parents using approved childcarers in their own home will then become eligible to claim tax credits, as they already can for using registered childminders and day nurseries.
Although the move has been welcomed by many in the childcare sector, it's a cautious welcome. Stephen Burke, director of the Daycare Trust, says, 'It is the first full step towards regulation of nannies. But we hope it moves beyond this to full regulation in the future.' His opinion is echoed by Tricia Pritchard, professional officer at the Professional Association of Nursery Nurses (PANN), who will continue to lobby the Government for all nannies to be required to undergo the same checks as other childcarers.
Going private
The approval scheme, commissioned by the Department for Education and Skills, is being run by medical staffing company Nestor Primecare Services.
This has disappointed some childcare organisations. During the consultation phase they had called for Ofsted, the Government department that regulates and inspects all other forms of childcare, to be the approval body.
A DfES spokesperson says, 'The approval scheme is being run by a private company because it is focused on forms of childcare where there is a clearly reduced case for full Government inspection and regulation - where the childcare is in parents' homes or involves older children.
'Certainly, a scheme based on inspection of parents' homes would constitute unwarranted intrusion into private family arrangements by Government.'
But some believe that this perpetuates the idea of employing a nanny as a purely private matter. Tricia Pritchard says, 'The Government's focus is on early years and childcare, and yet they refuse to bring home childcare into it. So we have still not got uniformity across the sector.
'PANN still wants Ofsted as the official body, but will be supportive to Nestor in the meantime. Nestor comes across as confident, but it needs to get a feel for the volume of applications.
'None of us can say how many people this will affect, because we do not know how many nannies are out there and how many parents will encourage them to go forward. Starting to receive applications this month will give Nestor a fair lead time to sort out any teething problems by April.'
The DfES expects that the approval process will take six weeks for routine cases. Nestor, which has more than 300 offices across the UK, says it is confident it can cope with demand. A spokesperson says, 'Nestor has the skills and experience to deliver the requirements of the approval scheme.
We recruit healthcare staff to work with the sick, elderly and vulnerable on a daily basis and have developed best practice processes in this area.'
But Nestor had a difficult year in 2004. It issued a number of profit warnings, closed a fifth of its branches and its Sheffield call centre, and laid off more than 1,000 staff, after apparently misjudging the demand for out-of-hours cover for GPs to be provided by the private sector. But the spokesperson says, 'Nestor has embarked on a reorganisation of its operations in the last six months. The benefits from this work are already evident and these will continue into 2005. Nestor remains committed to health and social care and many of our businesses continue to be very successful.'
An annual 96 fee has been set for childcarers seeking approval, to cover the cost of CRB disclosure and administration. 'I think it stinks that nannies will have to pay 96 every year,' says Maggie Dyer, director of the London Au Pair and Nanny Agency. 'I am not against nannies having to pay, but it is a lot of money and should at least be lower for subsequent years.'
Elizabeth Elder, chair of the childcare division at the Recruitment and Employment Confederation, says she presumes that parents employing nannies will pay the 96 fee. 'It is another cost they will have to absorb, and it may take away the value of the tax break,' she adds.
Nor will nannies who have recently paid for a CRB disclosure, before the approval scheme's introduction, be eligible for a discount.
PANN is encouraging nannies to apply for approval regardless of whether their employers want the tax break. 'We want it to become the norm that parents look for nannies who are approved - we want to show the Government that there is a demand for the workforce to be regulated,' says Tricia Pritchard.
'We do not want to find that nannies are avoiding the approval route because of cost implications. We do not want the Government to interpret this to mean that few people have applied, so there is no need for regulation. The fee is an obstacle. If nannies opt out it is because it is pitched too high - it does not suggest they are not interested.'
Limitations
There is also concern that having a scheme where nannies have light-touch approval and nurseries and childminders are more strictly regulated is creating a two-tier system.
Rosemary Murphy, chief executive of the National Day Nurseries Association, says, 'We were promised a level playing field, but now the Government has gone off at a tangent. How can they say that quality needs to be raised and regulations tightened, and then introduce this scheme?'
The scheme does not remove parents' responsibility to satisfy themselves that an approved carer is suitable to look after their child. 'It may suggest to parents that more checks have been made than there have been,'
says Tricia Pritchard. 'A short induction course and a full CRB check is all that it does. It does not give Nestor the responsibility to remove nannies from the sector. If parents find a nanny unsuitable, there is no process in place for reporting bad practice. It does not go far enough.'
But a DfES spokesperson says, 'The current publicity already makes clear the limitations of the scheme and what it will not do. Child abuse should be reported to the police, social services or NSPCC. If the approval body is told they will automatically inform social services. Contractual concerns are a matter for the employer and employee to discuss.'
Stephen Burke at the Daycare Trust is urging the DfES to invest money to make parents aware of the new scheme. 'I am keen that it is ensured that parents who need childcare in their home, maybe because they work shifts, have a disabled child or are from a minority ethnic group, are informed about the scheme so they can make sure they can access help through tax credits. It is crucial that they understand that help is available,' he says. 'There are a lot more people who can benefit as well as those who traditionally use nannies.'
WHAT IS THE CHILDCARE APPROVAL SCHEME?
It is a voluntary scheme for approving childcare providers. Families on incomes of up to 59,000 who employ an approved childcarer in their home will be eligible for Working Tax Credit.
Parents will also be eligible for employer-supported childcare, if their employer agrees a contract with an approved carer. They can have up to Pounds 50 a week of their childcare costs free of tax and national insurance, or receive childcare vouchers.
What does it do?
* It verifies that the carer is 18 years old or over and has an appropriate childcare qualification or has attended an induction course (see the Sure Start website for approved courses).
* It verifies that the applicant has, within the past three years, undergone first aid training for the care of babies and children.
* It requires an enhanced Criminal Records Bureau disclosure, including a Protection of Children Act list check. The approval body then assesses whether these contain details which make the applicant unsuitable.
What doesn't it do?
* It doesn't verify whether the childcarer is eligible to work in the UK.
* It doesn't clarify the age group that they are suitable to care for.
* It doesn't guarantee that parents are entitled to Working Tax Credit or employer-supported childcare.
* It doesn't remove the parents' responsibility to ensure childcarers are suitable for their children.
What does it cost?
96, which covers the cost of CRB disclosure and administration.
When does it come into force?
It starts on 6 April 2005, but childcarers can apply for approval now.
Further information
* Helpline: 0845 7678 111
* Website: www.surestart. gov.uk/childcareapproval
* Tax credits helpline: 0845 300 3900