The Institute for Fiscal Studies said the measures announced in the Budget fail to prioritise inequalities in children’s development.
The poorest families will see no direct benefit from the expansion of free childcare, a study has found, as the Government is accused of failing to prioritise inequalities in children’s development.
Meanwhile, the research found the share of disadvantaged two-year-olds eligible for a funded childcare place fell from nearly 40% in 2015 to just over a quarter in 2022–23.This is due to eligibility for two-year-olds being largely determined by whether families receive certain other benefits. The IFS found the impact of the new Budget entitlements for families with a child aged nine months to two years differs dramatically across the income distribution.
“With the new childcare entitlements announced in the Budget, it’s now set to double again over just three years. However, while funding for children aged three and four has risen this month by a lower 6%, the increase comes after a 17% fall in core funding in the decade up to 2022-23 once the rising cost of provision is taken into account.
Josh Hillman, director of education at the Nuffield Foundation, which funded the research, said: “This report demonstrates the huge scale of government funding required to deliver the new childcare entitlements.
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