Jeremy Hunt announced an extra £500m funding at last week's budget, to help meet his promise of 30 hours a week of free childcare for the under-threes by September next year - which he hopes will bring 60,000 parents back to work.
With public funding for the sector set to surge, research by the Guardian and the Joseph Rowntree Foundation (JRF) in collaboration with the investigative accounting firm Trinava Consulting reveals that private chains are poised to make bumper profits, even as small providers struggle.
The analysis shows nurseries backed by investment companies including private equity firms, asset managers and international pension funds-reported double the profits of other private providers.
JRF said the findings underlined the need for stricter controls on the sector. In a report, the anti-poverty thinktank calls for "social licensing" of childcare providers. This would demand commitments on workers' pay and value for money from nursery chains potentially including a profits cap. Firms in receipt of public funding would also be expected to be financially transparent.
Abby Jitendra, the JRF's principal policy adviser on care, said: "Our childcare system is a wild west where the biggest providers cash in while others struggle and workers live on poverty pay pouring billions into it without proper controls is utterly irresponsible."
Diese Geschichte stammt aus der March 13, 2024-Ausgabe von The Guardian.
Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.
Bereits Abonnent ? Anmelden
Diese Geschichte stammt aus der March 13, 2024-Ausgabe von The Guardian.
Starten Sie Ihre 7-tägige kostenlose Testversion von Magzter GOLD, um auf Tausende kuratierte Premium-Storys sowie über 8.000 Zeitschriften und Zeitungen zuzugreifen.
Bereits Abonnent? Anmelden
Wall of online rage should not obscure beauty and ugliness
While the authorities have undermined fans’ trust, the truth is at risk of being buried under a mound of tinfoil hats
Surrey worthy winners as Championship takes eye
Nestled within a season of Test triumphs for England, it was atop-of-the-table county clash that truly stole the show
Strike it rich Footballers must find a moral compass before embarking on a journey of unity
IT he distant strains of The Internationale can be heard on the approach to the Etihad Stadium.
Sri Lanka President pledges 'era of renaissance as leftists come in from the cold
As he was sworn in as Sri Lanka's new president yesterday morning, Anura Kumara Dissanayake heralded a \"new era of renaissance\" for the country.
Man reunited with lost family 73 years after he was abducted as a child
A man who was abducted as a sixyear-old while playing in a California park in 1951 has been found more than seven decades later thanks to the help of an online ancestry test, old photos and newspaper clippings.
Veteran activist Fonda issues rallying call to young voters
Young people's unhappiness with the Biden administration's record on oil and gas drilling and the war in Gaza should not deter them from voting to block Donald Trump from the US presidency, the Hollywood actor and activist Jane Fonda has urged.
Ex-partner of Pelicot co-accused fears she was raped
The former partner of a co-defendant in a mass rape trial that has prompted horror and protests in France has broken down in tears and told the court she may herself have been sexually assaulted.
Meloni to be presented with thinktank's global citizen award by Musk
Giorgia Meloni is to be presented with the Atlantic Council's global citizen award by Elon Musk in New York, as the Italian far-right prime minister resurrects links with allies of Donald Trump before the US presidential election.
French interior minister is sign 'reactionary right' are in power, critics warn
The new French interior minister, Bruno Retailleau, has promised to \"restore order\" by cracking down on crime and immigration as critics on the left said the new government was leaning too far towards the \"reactionary right\".
Show puts creator of first UK Holocaust memorial in the spotlight
The work of an overlooked GermanJewish artist who created the UK's first memorial to victims of Nazi persecution is to be the focus of an exhibition that shines light on the unreported aspects of his life.