With the Government planning to create 2,500 children's centres in disadvantaged areas by 2008 and proposals for a network of extended schools providing wraparound services to children and families, there would seem to be an unparalleled opportunity for private sector providers to develop and expand their businesses.
The DfES says that of the 1,390 neighbourhood nurseries created, 564 - 40 per cent - have been private sector-led. Money from the neighbourhood nursery initiative has helped providers get a foothold in the market through the development of facilities in deprived areas.
Yet despite the rapid expansion of early years education and childcare, many existing private providers feel under threat from the very Government initiatives that previously seemed so inviting - and, in some areas, excluded from the children's centres programme.
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