1. Underfunding concerns

The scheme objects to offering more than 30 hours of free childcare per week but provides funding rates that many nursery providers estimate as unsustainable. This could force nurseries to operate at a loss, threatening their viability.

2. Workforce Shortages

As part of the previous state's billed largest-ever expansion of childcare in England’s history, childminders, nurseries, and preschools raise concerns about struggling to recruit and retain staff to meet parents' expectations at local places. Before the September expansion, about 78% of providers found it a significant issue to recruit staff.

3. Impact on Providers

Nursery providers are in an alarming situation. Due to limited funding, childcare providers stop or limit the number of new children they take in, and about two in five decrease their opening hours. This further strains the sector, leaving parents with fewer options.

4. Hasty Rollout

Critics argue that the government should have consulted stakeholders or conducted predictive studies before the announcement. This risk undermines the policy's effectiveness and benefits for working parents and families.