Cairneagle has released the latest edition of its survey of UK childcare providers. The survey collects responses from group operators of varying sizes as well as operators of single sites. It covers all regions of the UK.
Key insights include:
- Growth in occupancy year-on-year, in part supported by the rollout of the new 15-hour funding for 2-year-olds.
- The majority of operators plan to offer the full 30-hour funding for under-3s in September 2025, and on average expect an almost 15% increase in under-3 FTEs due to the funding changes.
- Staff recruitment and retention issues remain, however there are signs of improvement for some operators. There are concerns about the ability for staffing sufficiency to meet the increased demand levels in September 2025.
- Operating costs and staff wages have become much more significant challenges.
- A net positive sentiment to the outlook for the sector, and an expectation that the new Labour government will have a neutral impact against the previous Conservative government policies.
Authors: Arun Kanwar, Partner and Madeline Alcock, Manager
If you would like to discuss our findings, contact us at [email protected]. Alternatively, you may request a full copy of our report here.