Tax free childcare

[monkeysox]

Since this has come in all of my local providers have raised their prices so they take the 20% meaning we don't see the benefit of the tax free bit. I'm quite 😡.
Don't get me wrong I'm pleased my children are cared for and happy.
It's expensive

What?

I don't understand, they still get paid the same with tax free childcare as without? Our bill is always £550 a month, that's how much they receive, it's just that we don't pay that much ourselves!

Their price increase is surely a separate issue?

Have they raised their prices by 20% though cos that seems extreme

As a childcare provider I have not changed by salary expectations at all. So I'm surprised you are finding providers who have. Maybe it's more to do with the 15 hours nursery education and additional 15-hours childcare funding for children aged 3-5 which means that any unfunded hours are more costly.

Well given how little nursery staff are paid I think it’s hustifued.

If they are private, they can charge whatever they like.

Business rates rising, minimum pension contributions rising, minimum wage rising, insurance rising (just renewed one of mine and it is up 15% and that was after negotiating with them, quote was up 70% on last year). Utility costs increasing. All sorts of things could result in the rise in fees. Tax-Free Childcare may adds some admin, so there may be some cost attributable to that but not the whole 20%.

Yes they've all raised their prices.
Used to be 12 pounds per child per day it's now 15.
This is for breakfast and after school club.

All local childminders and wrap around care are minimum this now.

Mine are both in primary school.

I have paid 4 pounds a day for breakfast club and 12 for after school at 2 different schools. Might seem a lot to pay,Esp if you have 2 but it's not a lot to charge. I reckon it literally covers wages ( prob At minimum wage plus insurance/materials and food)

It is a childminder.

Same principle. Nobody gets rich providing ad hoc child care. In fact most childminders do well if they make a living from it.I certainly wouldn't do it for the money they charge.

Another reason I’ve stopped wrap around care. The parents were the most tight/ ungrateful and the kids were harder work/ cost more to feed and entertain. It’s not worth it. And then people wonder why it’s hard to find childcare...

Have you noticed that the cost of food has gone up? utilities? up as well. Petrol (if she drives)? Up. Insurance? I don't know but certainly not gone down. If she provides care for children all day, she may be offering the 'free' 15 hours of childcare which pays well below the going rate of providing childcare. If she offers the 'free' 30 hours, then it's even worst. She might be trying to make up what she is loosing in terms of funding gap between what she would normally charge and what the government is giving her to provide the ;free' 30 hours.

But 20% increase since july to September!?

30 pounds per day is a lot.

She has other kids there too.

Of course she has other kids there too! No one can live on £30 a day.

Clearly.

it's a lot obviously, but had her fees risen by much in the last couple of years?

Good quality childcare is expensive. At one point we were paying more than our mortgage to have one child in nursery full time.
Personally I can't wait for when we're only paying for wrap around care.

It is clearly the going rate. And enables you/dh to earn considerably more than the ? 4 quid per hour per child you pay.
In the small town I have just moved to, no childminders do breakfast or After school presumably because of this kind of thing.

I was talking about the rise in cost.

This is one provider. Doubt it's linked. None of ours have gone up that much.

It's not one provider.
Used to use day nursery wrap around care.
It's been taken over.
All local childminders have raised prices in line with the new day nursery.
It's coincidental that the rise is approx the 20%?