Coronavirus: Councils call for more funding for settings to remain open

More than 69,000 early years providers have temporarily closed during the pandemic, with many settings citing financial difficulties as a key reason. Among those that have remained open, many are operating at a loss.

While early years settings can potentially open to all children from 1 June, providers fear that many parents will choose to keep children at home due to concerns over Covid-19.

The LGA warns that this means that they will struggle to bring in the parent fees that they need to continue operating, risking redundancies or closures of settings, and a loss of the skilled and passionate staff that provide essential support to children.

Despite Government funding for early years funded places, councils are concerned that this alone is not enough to ensure providers can remain open without operating at a loss, while also supporting closed providers to ensure there are enough spaces for all children.

Councillor Judith Blake, chair of the LGA’s Children and Young People Board, said that having enough childcare places will be ‘essential’ to support families and get the economy moving again. She added, ‘It’s vital that the Government urgently provides additional funding at a national level to ensure early years providers can remain open.’