Question reference: S5W-25746
- Asked by: Beatrice Wishart, MSP for Shetland Islands, Scottish Liberal Democrats
- Date lodged: 9 October 2019
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Current status: Answered by Maree Todd on 6 November 2019
Question
To ask the Scottish Government whether it has conducted an analysis of recruitment demands on (a) private and (b) third sector early learning and childcare providers regarding the expected “increased proportion of provision being taken in private and third sector settings” referred to in the Early Learning and Childcare Expansion Delivery Progress Report of September 2019.
Answer
The Scottish Government’s Business and Regulatory Impact Assessment considered the impacts of the Early Learning and Childcare (ELC) expansion on private and third sector providers. In the current market, the majority of private and third sector providers’ income (around 77%) comes from fees charged to parents and carers for non-funded hours (i.e. additional childcare on top of the funded entitlement; or childcare for children not yet eligible for funded ELC).
Local authorities’ original expansion plans forecast that the share of providers’ income accounted for by funded hours would increase with the roll-out of 1140 hours, as settings allocate more capacity towards delivering funded hours. This is reflected in the latest delivery data. The increase will be, in part, due to previously paid-for (wraparound) hours now being funded, and in part due to children newly accessing funded hours at the setting.
Local authorities and private and third sector ELC providers are working in partnership to develop a local offer of funded ELC that responds to parental demand and may include different patterns of provision based on different business models. There is no requirement on private and third sector ELC providers to change their overall capacity and therefore staffing models as a result of the ELC expansion, although we recognise that providers may of course choose to do so.
We recognise also that private and third sector providers are being affected by large scale local authority ELC recruitment. We are working with sector representative bodies to support providers with recruitment, including through our campaign website: www.childcarecarecareersscotland.scot which hosts job adverts from across all ELC sectors.