09/09/2025
Right, so now I’m doing all the official stuff, I felt like I had to share a post about the government’s 'free childcare' — because it’s not exactly what it seems.
Now, I’m not pretending to be an expert on the funding side of things (I’m only just getting to grips with it myself... even though I was reminding parents about it just the other day 🫣).
But the more I’ve learned, the more I’ve felt like I just had to say something.
I’ve got children, and I know about the cost of childcare..it was eye-watering.
When my circumstances changed last year and I needed a new provider, I was excited by the prospect of “free childcare.” In fact, it was this promise that made me feel able to consider increasing my workload.
So imagine my surprise when I discovered I was still going to have to pay my child’s childcare provider. I was taken aback. I’ll be honest — my first thought was: “How dare they charge me? The government is providing this — they know what they’re doing — so it should be free!”
But the more I’ve found out about funding, the clearer it’s become:
➡️ For some age brackets, the government is actually paying providers less than it costs to deliver the care and education.
➡️ On top of that, providers aren’t allowed to force parents to make up the shortfall.
➡️ Voluntary contributions can be requested, but only to cover additional costs such as meals, snacks, or sun cream. Providers can’t add a surplus to make up the funding gap. And parents can refuse to pay this if they provide their own — which many are doing. After all, why would they pay when they’ve been told it’s free?
➡️ It’s a complex and time-consuming process to ensure all forms are completed correctly — yet despite receiving funding from the government for this, local authorities don’t pass on any additional pay to reflect the extra admin burden.
Not many of us know about this — the government has done a brilliant job of keeping this hush hush whilst making providers look like the greedy ones, haven’t they?!
I fell for it too — until I realised they were being forced to deliver care at a loss when caring for certain aged-children.
Put it this way: can you imagine having to do your job for around 30% less pay — with no reduction in hours or expectations? That’s exactly what the government is asking childcare providers to do in some circumstances. The cheek of it!
🍦 For example: imagine it costs you about 80p to make an ice cream. You sell it for £1 to cover your costs (…those of us in the childcare — oh, I mean the ice cream — biz have never been in it for the money 😂).
Then the government steps in: “Great news! Everyone gets 30 free strawberry ice creams a week. We’ll only pay you… 50p each for making and selling those though. And we won’t pay you any more for organising the complex admin tasks that enable you to provide these free ice creams either”.
Now, maths has never been my strong point, but that’s a substantial loss on those ice creams. Plus more work for the very hard working ice cream makers.
What can you do?
🍓 Stop selling strawberry ice creams?
That would be unfair to the strawberry lovers wouldn’t it?
🎲 Hope enough people buy other flavours?
Maybe things will balance out? It’s a gamble, and it rarely works out that neatly.
💸 Charge more for the other flavours?
You try, but customers only show up once the free strawberry ones start being handed out.
🧊 Quit altogether?
But this is your livelihood. You’re good at it. If you leave, your skills go with you — and less experienced ice cream makers take your place. Over time, the quality drops. And eventually there won’t be any ice cream makers/fools left to run this type of business!
🙅♀️ Ask for a top-up?
Nope. Customers get annoyed ("It’s supposed to be free!") — and you’ve been told you’re absolutely not allowed to ask anyway.
🍫 Charge for toppings?
You can — but only at cost. No margin, no profit. Just more admin.
👜 Watch as people bring their own toppings?
Because they were told it’s free, and they’re doing what they can to avoid extra charges.
There’s only so long you can keep going like this before your business melts away.
In what world is this OK?!
But this is the reality of childcare right now.
(…uh hem… seriously starting to reconsider my career choices! 😂)
This childcare — it’s NOT free. It’s underfunded. And the people keeping it all going are the providers who love and care for our children — but who are being put in an impossible position.
I anticipate having to ask for a voluntary contribution when I start childminding — but I am concerned I’ll be seen as “money hungry.” The reality is, I’m just trying to make the business viable and pay the bills, while providing the level of childcare I know is needed — and that children deserve.
Quite honestly, why should childcare providers be put in this position at all?
I hope that when a childcare provider mentions a voluntary contribution, you’ll be able to pay it happily, knowing you’re still getting a substantial discount on the quality care of your most precious thing.
No setting should be forced to make up the shortfall just so your household finances are better off.
Paying this fee ensures the care provided is top tier — exactly what your little one deserves — and it supports the people nurturing the next generation to keep doing what they do best: helping our children learn, grow, and develop into well-rounded adults.
Try to remember: despite what the government wants you to believe, it’s funded childcare — not free childcare.
And they really should start advertising it as that.