Childcare matters

Published on Fri 16th Jun 2006

Childcare is a major problem for many people in London and that's why the London Assembly committee I chair has just published a report on this issue.

Childcare matters for two reasons. Obviously, it's important because we value our families and our society. But it's also an economic issue. Childcare enables parents to work and, in some cases, escape poverty. Is it any coincidence that London has both the highest levels of child poverty and the worst childcare provision in the country?

The main obstacle to better childcare is cost. Childcare is more expensive in London, on average 25% higher than in the rest of the country (and even higher in parts of inner London). It's also much harder to find and keep childcare staff. The work is very demanding but with very low wages. Staff qualified to NVQ level 3 are getting the minimum wage but they could earn more as classroom assistants or stacking shelves in the local supermarket. Some trainee staff get as little as £3.50 an hour.

To meet our needs, London will need 30,000 extra childcare workers by 2010. The government has just published a Bill saying that local authorities will have to provide enough childcare to meet the needs of working parents. But the government will not provide any more money. How can local authorities that are already strapped for cash find the money to meet this demand?

The need is urgent because of London's high levels of child poverty. Half of all children in inner London live in poverty. Poverty is often caused by unemployment and the lack of quality childcare prevents people working. So improving childcare is one of the ways we can break the poverty cycle.

The government wants to raise the proportion of single parents in work from four to seven out of ten. But its claim that it is providing 'free' childcare for all three- and four-year olds is simply untrue. These children are theoretically entitled to 2½ hours of free childcare five days a week. But in outer London, the average cost per 2½-hour session is £17.50. The government provides only £7.50 so parents have to pay the extra £10 per day themselves - that's £50 a week.

The system is also hugely complex. How many people know that if their total income is less than £58k a year, they can claim £545 in child tax credit? Certainly not the parents I spoke to in nurseries. No wonder benefit take-up is so low in London. It is a really well kept secret.

The group that loses out most is children with disabilities. This is the most vulnerable group and provision is woefully inadequate. The whole process of assessing children with special needs is too slow and bureaucratic. It needs to be radically simplified and speeded up.

Let me tell you what I found on a visit to one really excellent nursery that has been dealing with children with disabilities for years.

A parent phoned to ask if the nursery could take on her severely disabled child. The nursery owner replied, "Sorry - we're completely full". When the owner put the phone down, she was visibly upset and explained that the nursery wasn't full. It simply couldn't take on another child with special needs because of the difficulty in getting funding for the extra member of staff needed to work on a one-to-one basis with the child. It can take up to two terms before funding comes through from the local authority. Meanwhile, existing staff would need to concentrate on the child with special needs rather than the other children. This is a dreadful situation and must be addressed.

So, there is much that needs to be done. Our report makes the following key recommendations:

· Much more help for children with disabilities, including training for workers to help children with special needs and disabilities. There should also be less assessment bureaucracy.

· More flexible childcare, such as mobile crèches and childminders.

· Funding for training and support for childcare workers.

· The Mayor should work with boroughs to promote increased take up of child tax credits in London.

We will be monitoring these carefully to ensure that they have been acted upon.

I firmly believe this will mean that it's not just the children and parents who will benefit, but all of London.