The survey confirms Ofsted data, published last month, which revealed that the number of early years providers and places has fallen in the past year, and highlights a continuing decline in the number of childminders.
The Early Years Alliance warned that if the drop in childminders continues, the profession will 'eventually cease to exist'.
Despite a fall in the number of childminders and childminding assistants, the DfE findings show overall there has been a rise in the number of staff working in the sector.
It finds that in the last 12 months the number of paid staff working in group-based settings grew by 4 per cent.
The findings suggest that the rise in the number of staff could be down to an increase in the percentage of group-based providers employing apprentices from 49 per cent in 2022 to 51 per cent in 2023.
The survey also shows a higher proportion of providers have increased their fees compared to last year. The proportion of group-based providers increasing fees for two-year-olds and children aged three and four, increased from 64 per cent to 76 per cent, and from 63 per cent to 74 per cent respectively.
Key findings from the survey reveal:
- The number of childcare providers in England has fallen from 59,400 in 2022 to 56,300 this year.
- The fall in the number of providers is mainly due to the decline in childminders, with 3,200 fewer childminders this year compared to 2022.
- There has been a loss of more than 10,000 childcare places within the last 12 months. The number of places offered by group-based settings remained largely the same, while the number of school-based provider places rose by 7 per cent.
- Overall, the total number of paid childcare staff increased by 12,900 (or 4 per cent), from 334,400 to 347,300.
- On average, providers had more paid childcare staff joining than leaving in the previous 12 months.
- 38 per cent of paid childcare staff who left a group-based provider in the last year, compared with 27 per cent who left a school-based provider, went to work somewhere else. A higher proportion of paid childcare staff who left a school-based provider (12 per cent) than left a group-based provider (4 per cent), retired.
- The percentage of employees working in private settings with a degree has fallen since last year, as has those with a Level 3.
'It is vital the Government reflects on these statistics and puts in place urgent action.'
Neil Leitch, chief executive of the Early Years Alliance, said, ‘This year’s survey raises serious concerns about the future of England’s early years sector, especially when given the rollout of the expanded offer is just months away.
'We at the Alliance have long warned that childminding, a vital part of the sector, continues to be ignored, sidelined and underappreciated, and are extremely concerned that if this declining trend continues, this crucial section of the early years will eventually cease to exist.
‘It is vital that the Government reflects on these statistics and puts in place urgent action, including a realistic funding plan, both to stem the number of closures and enable providers to properly prepare for the expansion. The sector simply cannot afford any further delay.’
National Day Nurseries Association's chief executive Purnima Tanuku said they were worried about staff turnover.
'While it is encouraging that since the previous survey, staffing numbers have increased by 4 per cent, it’s a concern that the numbers of Level 3 qualified staff have fallen yet again', she explained.
'The DfE needs to urgently produce a plan for the workforce with clear strategies targeting recruitment and retention as separate issues to address these skills shortages.
'We are worried that the qualifications data excludes apprentices and volunteers, so the proportion of qualified staff reported is not a true reflection of the facts on the ground. An increase in apprentices is good news for the future of the sector, but they need enough leaders around them to develop their practice and these qualified practitioners are the ones leaving the sector.'