A Britain where people cannot afford to raise children? We see that risk, and won’t let it happen | Bridget Phillipson

The UK government is investing a record £9.5bn in childcare this year [1] as it confronts a family crisis driven by record-low birth rates and costs exceeding £250,000 to raise a child to 18 [1]. More than 530,000 families are now using the expanded 30 hours of funded childcare in England, saving an average of £8,000 annually per child [1]. This government funding now covers more than 80% of all childcare spending nationwide [1]. However, Education Secretary Bridget Phillipson has warned that 'hidden charges, restricted hours or excessive deposits' are preventing parents from feeling the full benefit of this investment [1]. She has asked the Competition and Markets Authority (CMA) to investigate the fairness of the childcare market [1]. The CMA, the UK's principal competition regulator established in 2014 [4], will examine practices like hidden fees that add costs to government-funded hours [1]. A particular focus is the growing influence of private equity-backed nurseries, which generate more than double the profit of other private providers and carry significantly higher debts [1]. This scrutiny comes as the CMA's own powers were recently expanded under the Digital Markets, Competition and Consumers Act 2024, which aims to stamp out unfair practices and strengthen consumer protection [5]. Alongside the CMA review, the government is launching a new online service to help parents in England understand their entitlements and estimate costs [1]. Phillipson stated that supporting families is 'essential to the future of our whole society' [1], linking affordable childcare to broader challenges like housing and job security that influence family planning [1].