Nursery fees during shutdown

[Random63638]

Please can you share what you have been asked to pay so I know if AIBU?

I'm a self employed trainer in a specialist industry, no-one can commit to using me now and all my work is cancelled. I have savings to get by for now, but just barely. No support announced by government as yet for self employed.

Nursery for DD want 50% fees during shutdown. DD is 2 so no free hours. I thought they were getting 80% of staff salary paid, no business rates and VAT holiday? What am I paying for?! Is there any guarantees they will reopen? What if this goes in longer and they walk away?

I can't afford it, I have no income. What can I do?

@cinnamonbuns

Yabu because they do not get 80% wages paid. That is only for companies which have had to shut down meaning the employees can’t work.

Would you mind providing a link to this please that mentions businesses having to be shut down? My husband's composing an email to his employer who have effectively furloughed him by telling him not to come in, but are still open for front line and essential staff, so we are trying to get our heads around the system.TIA.

Afaik not everyone has to be furloughed, and it would seem a counterproductive decision as, even thinking of nurseries, some will have work for a handful of staff due to keyworkers but not enough for everyone. All or nothing would probably see them close

I'm not sure we're at the final position - different businesses in the same sector doing different things. For instance, some private schools ARE offering some fee remission to all, and others have taken a 'contact us if you're in financial hardship, we're a business in an uncertain situation too' approach.

The govt has only just announced more measures for the self employed.

Communication is key between payers and businesses, these are relationships for the most part that are going to continue and understanding needed on both sides.

It's obviously complex when some people can continue to pay and some people have hit the skids and the help is vague and unclear.

I am a trustee of a small run on a charitable basis...ie doesn’t aim to make a profit and we have asked parents to pay 50% fees and I thought it might be helpful to explain how we have got to that percentage. We are hoping to make use of the 80% government funding grant and have put most of our nursery staff on furloughed leave. However, they are, as is common with a lot of nursery staff, paid just above the minimum wage and therefore we want to make up the 20% difference.

Also we need to have sufficient staff in to look after the children of key workers who we obviously need to continue to pay directly but we need to ensure we have more than a skeleton number of staff because if any of them need to self isolate, we can not recall staff on furloughed leave.

Our salary costs are less than 70% of overall fixed costs so we still need to plug the gap just to stand still and as a charity, we don’t get business rates relief.

So we have asked for 50% and will continue to review and refund once we know our cost savings. Hopefully parents who can afford to will pay and we will still have a nursery at the end of this. We are trying to be as transparent with our parents as we can be and would suggest you ask for justification of whatever you have been asked to pay.

Ours asked us to pay then closed beginning of this week. They’ve since said they are waiving the fees from 01/04

If they had insisted on charging whilst closed I’d have had to give notice to pull DS out

Ours have asked for 25%, which is more than fair imo.

Our nursery have said we don't have to pay anything for the summer term but have asked us to continue voucher payments if we can. Very kind of them.

OllieTheCat that's interesting, thanks. I have gently asked for justification but as they are a private business I don't think they are happy being any more transparent. If you have any thoughts on this situation it would be great to hear them;

My DD's nursery has shut completely, it's a relatively small place for max 25 children.

As I understand they will get business rate relief, delays on paying VAT (so effectively a small cash float to keep them going) and 80% salary support for staff. The government said all funded places will continue to be paid for. I also saw small businesses can apply for loans but not sure of the criteria.

They will presumably still have rent to pay and some small utilities (again, completely shut). What else are they liable for?

I appreciate they might want to 'top up' salary's to 100% but that's hard to swallow when I have 0. The new scheme for self employed is not going to help me much as although I have done ok this tax year my last two tax returns include maternity leave so my profits were significantly lower! Unless there is some special provisions for that, but it's sounds too complex so I doubt it.

If I want to withdraw my DD they said I need to pay full for April! Its making me really resent them to be honest and even if I could afford it I'm not sure I want to keep sending her when this all blows over!