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Dismay in nursery sector as free hours plan grows

The Observer

|

August 31, 2025

When Jeremy Hunt revealed sweeping reforms to the free childcare scheme in 2023, Chizzy Chukwukere, founder of Zippys Day Nursery in Greenwich, southeast London, was supportive. "Anything that helps parents with affordability is a positive," she said.

- Emma Haslett

But as nurseries and childminders prepare for even more children to become eligible for 30 hours a week of government-funded childcare from tomorrow, Chukwukere is running low on goodwill. On top of increases to employers’ national insurance and the national living wage, she says, implementing the reforms has been “much harder than expected”.

The costs have squeezed her business and the UK’s £7bn childcare sector - to the point where for many the future is uncertain. From tomorrow, hundreds of thousands of parents who earn less than £100,000 each will be able to claim 30 hours of government-funded childcare a week once their children are nine months old. Previously, only children over three qualified for the full 30 hours. The changes, which apply only in England, represent the final stage of a three-part scheme.

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