Shropshire Star

Funding boost for childcare providers in welcomed by MP

A Shropshire MP has welcomed a funding boost set to go to childcare providers.

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Ludlow MP Philip Dunne has confirmed he will stand down at the next General Election.

South Shropshire MP Philip Dunne says childcare providers will receive a 6.8 per cent increase to their hourly childcare payments for children aged three to four, and a 29.7 per cent increase to the hourly rate for two-year-olds.

Through a new top-up grant called the Early Years Supplementary Grant (EYSG), local authorities will receive an additional £204 million in funding for childcare providers, says Mr Dunne.

It will take the average rate paid for places for three and four-year-olds from its current £5.29 per hour to £5.65 per hour, and take the average rate paid for places for two-year-olds from its current £6.00 per hour to £7.95 per hour.

Mr Dunne said: “Supporting and expanding the childcare sector means more parents can return to work or progress in the workplace.

“So it’s great news that childcare providers in South Shropshire will see their hourly payments increase for the children they look after.

“This forms part of the |Government’s wider approach to help people get back into work and grow the economy following the pandemic.”

Mr Dunne says the funding boost is vital to support the sector, as the Government rolls out reforms across childcare services, including 30 hours free childcare to all under four children by 2025.

As more families can rely on affordable childcare, parents will be able to take up more work and help grow the economy, he says.