Havering’s nurseries and pre-schools are sounding the alarm over looming fee hikes, job cuts, and closures as new government taxes and childcare policies threaten to cripple the early years sector.
[WATCH THE VIDEO ABOVE TO SEE JULIA SPEAKING UP FOR EARLY YEARS PROVIDERS IN PARLIAMENT]
Julia Lopez convened an emergency meeting with nursery owners and staff in Harold Hill after local businesswomen flooded the Hornchurch & Upminster MP with urgent concerns. Reliable, high-quality childcare is a lifeline for working families across Havering, and any disruption could have a devastating ripple effect—driving up fees or, worse, forcing nurseries to close their doors.
During the meeting, providers raised alarms that government funding for free childcare is insufficient to cover their operational costs. Additional changes limiting how they charge for essentials like nappies and formula are exacerbating the crisis, further undermining the sustainability of their businesses.
On top of these sector-specific struggles, early years providers are being hit hard by Labour’s October Budget, which raised Employer National Insurance Contributions and the minimum wage, adding up to £120,000 in additional employment costs for some. These pressure points are pushing many essential, often female-led businesses to the brink of collapse.
Mrs. Lopez said:
"Nurseries and pre-schools are vital to working parents, offering Havering’s children high-quality, reliable, loving care. The relentless challenges they face are driving many providers to despair. We cannot afford to lose them. I’ve already raised these issues with government ministers – they must act now before more damage is done.”
“The combination of rising costs from the NICs hike and changes to billing practices has created a perfect storm. Our local early years providers are crucial, not just in preparing children for school, but in supporting working parents, especially mothers. If Labour doesn’t address this crisis, it will have serious economic consequences as parents struggle to balance work and childcare.”
Mrs. Lopez pledged to take urgent action on behalf of providers, seeking immediate intervention from the Secretary of State for Education to relieve the pressures facing the sector.
