Figures just released reveal the cost of a nursery place for a child over two years old has risen by 5.1% in England over the past year - almost double the rate of inflation. But with fertility rates at a 15-year high, and proportionately more employees set to become working parents, employers need to find solutions to the problem of staff juggling work and careers soon. Already, one million parents blame their children for preventing them from working at all (poor kids) and, unsurprisingly, the role the state can play in supporting working families is already becoming a hot election issue (see our interview with shadow secretary of state for work and pensions Theresa May, p30). Employers are trying their best - seven out of 10 now offer some form of childcare voucher scheme and, according to a report from Accor Services last month, 86% of employers agree that offering a voucher scheme would improve employees' perception of them as a company of choice. A third say it helps with retention. Like new-born babies, though, they are crying out for help. Almost three quarters (72%) of these same 200 employers also said they would like to see the current tax exemptions on childcare vouchers increased. Over to the main political parties to slug it out then ...
An increase in tax exemptions for childcare vouchers could help employers retain talented staff.
The cost of having kids (an eye-watering 201,000 up to the age of 21, according to LV=) just keeps on rising - and not because Pampers are getting any more expensive; it's because the price of childcare is going through the nursery roof. Stagnating wages are fighting a losing battle with the cost of creches.
