Question reference: S6W-09669
- Asked by: Fiona Hyslop, MSP for Linlithgow, Scottish National Party
- Date lodged: 16 August 2022
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Current status: Answered by Clare Haughey on 20 September 2022
Question
To ask the Scottish Government what its response is to the Scottish Private Nursery Association's reported request for greater oversight and involvement by the Scottish Government in the setting of fees within the early learning and childcare sector.
Answer
The Scottish Government’s funding agreement with CoSLA enables local authorities to pay sustainable rates to providers in the private, third and childminding sectors who meet the National Standard, and enter into a contract with a local authority to provide funded early learning and childcare (ELC).
Last year’s Financial Sustainability Health Check reported that payments for the delivery of funded ELC account for around 33% to 45% of income for private providers. Providers are responsible for setting fees that are not associated with the provision of funded ELC.
The Scottish Government and local government recognise the need to strengthen the process for setting sustainable rates, and are progressing the programme of actions from the Health Check .
This includes publishing jointly with COSLA, on 26 May 2022, updated guidance to support local authorities to set sustainable rates. The guidance emphasises the importance of ongoing consultation and dialogue between local authorities and their local ELC providers.
The Scottish Government is committed to collecting annual data on the sustainable rates set by local authorities, and will publish an update this autumn.