Witnesses:
Julie Page, Early Years Sector
Development Manager
Jo Jarvis, Assistant Head, Epsom Primary School
Frank Offer, Head of Market Strategy
Declarations of Interest:
None
Key points raised in the discussion:
- Officers explained to
the Board that the Early Years and Early Help services were being
designed as an integrated service as part of the Children, Schools
and Families Commissioning Programme. It was highlighted that, as
part of this integration there were savings and culture changes
being undertaken within the service and that a new Supporting
Families Manager had been appointed to support this.
- Officers highlighted
there had been consultation with the childcare sector relating to
the implications of the National Funding Formula and the potential
issues that 30 hours provision would have on the sector. It was
explained that this shift would likely create some difficulties for
providers, particularly smaller ones. Members were informed that
the funding rate for providers would be agreed in Cabinet on
Tuesday 28 March 2017.
- It was highlighted
that the service had a support fund available to help limit the
potential issues that may arise in the childcare sector as a result
of the change in provision requirements. It was noted that there would be a requirement for
31,000 places for children as a response to the new 30 hours
provision. Officers highlighted that the service held a statutory
responsibility under the provisions of the Children’s Act
(2014) to provide 30 hours free childcare and that the service had
a Sufficiency fund, provided by the County Council, and a
Sustainability fund, provided by central government, to ensure that
this statutory provision is met.
- It was noted by
officers that approximately 8,450 children would be effected by the
new rules of provision and that a website was in development by the
Department for Work and Pensions (DWP) that would give parents the
accessibility to check eligibility for 30 hours childcare
provisions.
- It was explained that
the majority of families eligible for 30 hours childcare provision
would be likely to apply for it, reflecting on trends from current
15 hour provision. Officers also outlined some feedback from parent
forums and networks. It noted that there had been a survey
undertaken of Surrey parents which outlined that 79% of parents
involved were likely to take up the childcare offer and that 43% of
that figure were already accessing a similar offer.
- Officers noted the
concern that there was a risk of lack of provision across a
significant area of the county. It was highlighted that there were
projects in development to alleviate this issue and prepare for the
national launch of the 30 hours provision in September
2017.
- Officers highlighted
that parent feedback implied that users of childcare would tend to
move to providers offering the 30 hour provision. It was suggested
that this would lead to parents driving the market for childcare
provision and would encourage providers to set up 30 hour provision
to respond to demand.
- It was highlighted
that there was provision for a ceiling of no more than two
providers to provide care. However, the majority of parents
indicated that they would remain with one provider to maintain
continuity of care.
- Several key risks
were highlighted by the service as potential future issues:
specialist provision of care for SEND children, and sustainability
of care providers.
- In response to
sustainability concerns, officers explained the requirement for the
funding mechanism to be robust and streamlined. It was also
stressed that a sufficiency team was working closely with providers
to resolve potential sufficiency issues with providers and help
them remain sustainable.
- Officers noted that
the service was committed to launching on time and that the 30 hour
provision was on target for the launch date.
- The
Assistant Head of Epsom Primary School
explained that one the biggest concerns for
providers was ensuring sufficient childcare places in areas of
deprivation. In addition, their school had been creative with
regard to remodelling their childcare provisions; offering diverse
and comprehensive options for eligible parents.
- It was noted by
witnesses that there was some resistance to the provision changes
from some schools, but that attitudes were changing to reflect
changing demand.
- Members questioned
whether there was a possibility for childcare provisions to be
delivered out of county highlighted that this does happen, and that
it also occurred both ways, with children from London and
neighbouring counties coming to Surrey based providers.
- Officers explained
that the service had worked closely with the School Commissioning
team to ascertain potential places and areas where an influx of new
families may cause childcare pressures. It was stressed that a
sufficiency audit was undertaken once every three years, with
updates per annum, to ensure that the service was prepared for
potential demographic changes which could add additional stress to
the childcare providers.
- The service
highlighted concerns regarding its ability to provide 30 hours
provision across the county evenly, noting several areas that do
not have sufficient places currently.Members queried whether the
work relating to potential sufficiency issues should have been
undertaken sooner. However, officers clarified that this was a
piece of work that had been ongoing for significant amount of time,
noting that capital projects had begun three years previous and
that there were other ongoing projects to help alleviate potential
insufficiency issues ahead of the launch in September
2017.
- The Board questioned
what communication and consultation had been undertaken with
parents regarding childcare provision. It was highlighted by
witnesses that there had been a significant number of
communications made via social media, websites, and discussion with
community groups with parents.
- Members raised
concerns regarding the National Funding Formula and whether a
number of factors were serving to price private sector provision
out of the market. Witnesses acknowledged that there were
challenges regarding introduction of the Living Wage and changes to
business rates that would put pressure on the private sector.
However, it was highlighted that the service was working with care
providers to improve their business models to cater for 30 hours
provisions.
- It was noted that the
most intensive stream of work undertaken by the service was
preparation with schools to improve nursery provision to provide 30
hours free childcare. The Cabinet Member for Schools, Skills and Educational
Achievement commented that there was an
opportunity for the service to encourage schools to improve
school’s nursery provision and make better use of premises
for this.
Recommendations:
- The Board requests
that Officers return to the Board providing a report covering: the
progress made, and updated projections and figures following the
introduction of the 30 hours childcare provision.