Autumn statement 2011: sector reaction to rise in two-year-old places and tax credit freezes

In his Autumn Statement to MPs Mr Osborne said that he would double the number of places for two-year-olds, so that ‘260,000 children, from the most disadvantaged families would get this support in their early years.

‘Education, early years learning. That is how you change the life chances of our least well off – and genuinely lift children out of poverty,’ he said.

The plan will extend free early education to around 130,000 more two-year-olds.

However, while welcoming the move and the increase in funding of  teh scheme to £380m a year by 2014-15, the Pre-School Learning Alliance said it was concerned that there would be a shortage of nursery places for two-year-olds.

Chief executive Neil Leitch said, ‘Questions remain about the issue of sufficiency and where these 130,000 additional places will come from, given that there is currently a projected shortfall of some 40,000 places for the first tranche of 140,000 children.

‘Early years and childcare providers will be reluctant to create the new places that will be required unless this expansion of early years provision is adequately funded.’

Liz Bayram, joint chief executive of the National Childminding Association, said, ‘Critical to success of this policy will be ensuring these very young children receive a high quality and consistent experience.

‘NCMA is looking forward to working with the Department for Education to help make this a reality for disadvantaged two-year-olds.’

June O’Sullivan, chief executive of the London Early Years Foundation (LEYF), said that the offer to disadvantaged two-year-olds should be linked to children’s centres, and said that she hoped that the Government was clear about what it expected to achieve from the investment, ‘especially at a time when there are so many competing demands from those suffering from the economic downturn.’

She said, ‘We know childcare has multiple benefits, not least by helping parents out of poverty through work as well as the more longer-term benefits to children. Good quality childcare can improve the life chances of small children and reduce the gap between rich and poor children which starts to widen at 22 months.

She added, ‘However, we must engage parents from the outset. It is crucial that what is learnt at nursery is reinforced in the home in order to enrich the home learning experience. Linking it to the children's centre programme needs to be a crucial aspect of the programme.
 
‘In troubled times taxpayers need to see a real return on their investment. Connecting all the services logically and humanely around the family will lead to a much higher chance of longer and more beneficial outcomes for everyone.’

Anand Shukla, chief executive of the Daycare Trust, said that the expansion of free childcare to 40 per cent of two-year-olds was an important step towards universal provision for all two-year-olds.

‘It is now incumbent on the Government to work with local authorities and childcare providers to ensure that high quality places are available and that parents are supported to access their entitlement.’