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Education secretary to ask competition watchdog to review hidden childcare costs
Bridget Phillipson wants the competition watchdog to examine non-refundable deposits and extra nursery charges that ministers say are undermining funded childcare for 1.7 million parents.
- Education Secretary Bridget Phillipson is asking the Competition and Markets Authority to investigate hidden costs parents face from childcare providers, concerned that non-refundable deposits and charges for meals, nappies and suncream undermine free childcare access.
- Labour's extension of free childcare to nine-month-old children expanded access for more than 1.7 million parents in England, yet hidden fees threaten the policy's intended relief amid cost-of-living pressures.
- Parents securing nursery places face additional charges for meals, snacks and nappies beyond advertised free hours, while non-refundable deposits remain common despite full-time nursery costs averaging just under £149 weekly, a 39% drop from last year per Coram Family and Childcare charity.
- The Competition and Markets Authority will examine whether hidden charges breach consumer protections or prevent hard-pressed parents from accessing necessary childcare, with ministers expecting the probe to clarify if extra fees undermine free hours.
- Chancellor Rachel Reeves' "Great British Summer Savings" campaign, announced Thursday with VAT cuts and free bus journeys for under-16s in August, positions the childcare probe within the government's broader strategy to ease cost-of-living pressures.
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New action against hidden childcare costs to help families
Government is standing up for parents facing eye-watering childcare costs including non-refundable deposits and basics like nappies and suncream. The Education Secretary has written to the independent Competition and Markets Authority (CMA) as part of new government action to tackle hidden childcare fees hitting families. While funded hours are meant to be free, too many parents report being asked to pay extra to secure a place including upfro…
Coverage Details
Total News Sources10
Leaning Left1Leaning Right1Center3Last UpdatedBias Distribution60% Center
Bias Distribution
- 60% of the sources are Center
60% Center
L 20%
C 60%
R 20%
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