Latest Ofsted data shows a fall in the number of childcare providers
Ofsted has released a report detailing the number of childcare providers and their most recent inspection outcomes as at 31 August 2024.
The number of childcare providers registered with Ofsted was down by 2% due to a drop in the number of childminders. The number of registered childminders fell by 1,060 and the total number of providers now stands at 26,000.
The latest Ofsted statistics reveal:
- 2% fall in the overall number of providers registered
- 1,060 net loss of childminders
- 1% growth in the number of EYR places to 1.28m
- 98% of childcare providers were good or outstanding
Purnima Tanuku OBE, Chief Executive of NDNA, said: “The latest figures show some promising news for parents and providers. Parents can have confidence that 98% of nurseries and preschools are currently rated good or outstanding by Ofsted.
“The growth in the number of nurseries and preschools is welcome after years of decline but it is fragile and has not replaced the hundreds of nurseries we have lost, year on year recently. Any recovery in the total numbers of providers could be completely undermined if the increases in National Insurance Contributions, which will add tens of thousands to the operating costs of an average nursery, are not reflected in new funding rates.
“If the Government is committed to delivering more places for funded childcare from next September then providers in the sector need the confidence to be planning for that now. If new funding rates do not reflect the true costs of providing places then parents could face higher fees, settings may close and children and families will struggle to access the high-quality places we want to see.”
The report shows that the number of childcare places offered by providers registered on the Early Years Register (EYR) was 1.28 million, an increase of 12,100 (1%). This increase is mainly due to childcare being offered by non-domestic premises providers including wrap around care.
The headline figures of the report showed a net growth of 420 childcare settings on non-domestic premises, which Ofsted defines as are nurseries, pre-schools, holiday clubs and other group-based settings. Analysis by NDNA found that there was only a net growth of 98 nurseries and pre-schools in the year to 31 August 2024, when reviewing those on the EYR.
Out of the 1.28 million places provided, the report showed the following breakdown:
- Childcare on non-domestic premises 1.11million places
- Childminders 158,000 places
- Childcare on domestic premises 5,000 places
The report also included data on Ofsted inspections and showed that 98% of childcare providers were judged good or outstanding at their most recent inspection.
This week Ofsted also published its annual report. It was much shorter than usual without any of the usual statistics. The main focus for early years was to make sure every child – especially the vulnerable and disadvantaged – had the best opportunities and life chances. The report also flagged up childcare deserts which tended to coincide with areas of deprivation.
Purnima Tanuku OBE, Chief Executive of National Day Nurseries Association (NDNA) said: “We welcome Sir Martyn Oliver’s first report and his focus on making sure that all children, especially the disadvantaged and vulnerable, have the best opportunities.
“Despite many challenges and the current ongoing expansion, we are so proud of nurseries across the country 98% of which continue to offer good or outstanding provision to our youngest children.
“NDNA has been reporting on childcare deserts for years – our closures investigations have noted the links between areas of deprivation, low funding rates and reduced numbers of places. This is because nurseries in these areas have a large proportion of government-funded only children so can’t make up the shortfall in funding. This challenge continues to loom large, especially with the impending staff cost increases from April, and can only be fixed with sufficient investment in our children’s early learning.
“The high quality that makes all the difference to each child and their life chances is directly linked to the quality of the workforce. If providers were paid sufficient funding, they could pay their staff the wages they deserve, to retain existing staff and attract new talent into the profession. That has to change for the workforce crisis to be addressed.
“We know that early years practitioners are best placed to identify and support children with developmental delay and additional needs. The resources to help these children must be in place from the day they are identified.
“The early years sector is facing many challenges along with major changes. Ofsted needs to be mindful and understand the impact of all this on providers when inspecting settings.”
- England