Nurseries in Liverpool have resorted to alerting each other about miscreant parents who leave owing thousands of pounds in fees (see News, page 4). As one nursery owner says, 'For some people, we seem to come somewhere below the cat litter in their list of priorities.' And on Nursery World's website forum, you can see a series of postings from nursery owners and managers who are owed substantial sums of money by parents who seem to feel that they do not have to pay their child's nursery fees, sometimes encouraged by the tax credit system. One owner relates how she went to the small claims court to recover £500 and the parent was allowed to pay it back in portions of £1.90 a month - '26 years to clear it!!'
The temptation to defraud or default will be even greater as the global economic crisis deepens. Nurseries are keen to stress that most parents are good payers, but the irresponsible minority could cause significant problems. In many areas of the country, the Nursery Education Grant is also threatening sustainability, with the proposal for free places for two-year-olds likely to pile on the pressure.
The rate of NEG is not an easy problem to solve, although work on an equitable funding formula is under way. A change in the tax credit system so that money went direct to providers could offer vital help, however.