Parents Pay Up To £15,000 In Annual Childcare

The average hourly cost of childcare for an infant under the age of two has risen by an inflation-busting 5.8% across Britain in the past year, new figures show.

According to research by the national childcare charity Daycare Trust , it means the average annual expenditure for a child of that age has risen to £5,103.

And with HM Revenue and Customs revealing that 44,000 fewer families are receiving childcare help because of government cuts to working tax credits last year, campaigners say it is no wonder so many people are struggling.

Anand Shukla, the trust's chief executive, said: "These inflation increases in the cost of childcare are bad news for families, heaping further pressure on the stretched budgets as wages remain stagnant and less help is available through tax credits.

"We are calling on the Government to reverse its self-defeating childcare tax credit cuts and to deal decisively with the childcare affordability crisis for parents by pledging to provide free childcare for all two-year-olds by the end of the current parliament."

Childminder costs have also risen over the past year - up 3.2% for a child under the age of two and up 3.9% for a child aged two and over.

The most expensive nursery recorded in this year's survey came in at £300 for 25 hours' care, which would work out at £15,000 a year.

Anne Longfield, chief executive of 4Children , said: "Parents are finding themselves trapped in a double whammy of needing more help with childcare because finances are tight at the same time that Government is reducing its own spending in this area.

"The result is a cocktail of stress, juggling childcare and for some the difficult decision of giving up work. Helping them through these difficult times has to be a priority - locally and nationally."

Children's minister Sarah Teather told Sky News the Government had taken steps to help families, such as extending the free hours of early education three and four-year-olds are entitled to.

"Unfortunately because of the mess that the last government left us with we're having to prioritise our resources, particularly at the moment, on those who are most disadvantaged," she added.