A family with young children could save between £620 and £6,175 a year if there was free childcare for all and more funding for after-school programs, according to a new report.
Save the Children’s analysis produced with the Institute for Public Policy Research (IPPR) found that adopting these measures would increase government revenues as well as help families.
They are demanding that all children receive free childcare through the end of primary school, which they say would allow more women to return to work and reduce theAnd achievement gap between rich and poor children in their early years.
Some parents have to quit their jobs because the cost of childcare has become astronomical and many schools cannot afford to organize breakfast and after-school programs to support those in work.
The report found that a free childcare guarantee could mean up to 700,000 families with 1.6 million children would see their incomes increase.
They say the move would save them between £620 and £6,175 a year based on current childcare costs, depending on their circumstances.
For example, a working single parent with a two-year-old would save £6,175 a year with this guarantee, or £623 if they are on Universal Credit and make use of the childcare element of Universal Credit.
A working couple with children aged one and three would save £4,116 a year in taxes, while a dual-income couple with children aged four and seven could save £3.09, the report said.
Giving every family access to affordable childcare could cut nearly £2.8bn from government spending on social security, the report found.
He also shared the steps they believe the government could take to boost the economy and drive growth by putting parents back into work, including increasing funding for free childcare and increasing supply for children. three and four year olds 30 hours a week.
The report also recommended extending 15 free hours to all two-year-olds. Eligibility starts at the end of paid parental leave.
He also suggested increasing funded hours for two-year-olds and under-twos.
Wrap-around care is also expected to be extended from 8 a.m. to 6 p.m. for more schools, according to the report. Schools should also offer a variety of after-school activities during the semester, she said.
Shadow Education Secretary Bridgit Phillipson endorsed the report, saying it was further evidence of a “new and modern child care system”.
He said: “The job will provide a new system for giving children the best start in life and parental choices, enabling them to go back to work or increase their hours and give our economy the growth we need.”
Save the Children’s head of child poverty, Becca Lyon, told the Guardian: ‘The parents we speak to, regardless of their income, are clamoring for the childcare system to change.
“If it becomes a reality, a Universal Childcare Guarantee would change the lives of families, creating an easy-to-use childcare payment system for everyone, dramatically reducing childcare costs, ensuring that the daycare centers their children love are adequately funded; and providing free breakfast and after-school clubs when the children are older.
The report comes after the Institute for Fiscal Studies warned last month that government funding for early childhood education and care was likely to fall by 8% next year in real terms.
This is because the costs of childcare providers are set to rise by 9% between 2022-23 and 2024-25, undoing a £3.6bn to £3.75bn increase in funding announced in the last Spending Review.