‘15 hours’ free childcare, is it legal…

Options
RichFog
RichFog Posts: 10 Forumite
First Post First Anniversary Combo Breaker
Is it legal for nurseries to charge a higher day rate to families using 15hours free than to those not using it?

We have new fees coming into force in just a couple of weeks, and they’ve released a structure which charges more per day for those using 15 or 30 hours government funding then for those on “standard pricing”. Apart from being grossly unfair, I’m wondering if this is actually legal?!

Comments

  • lisyloo
    lisyloo Posts: 29,617 Forumite
    Name Dropper First Anniversary First Post
    Options
    Nursing/residential homes use a dual pricing model and often charge private residents more than local authority payers as a form of "cross subsidy".
    So educated guess would say it's legal.

    Does the government pricing come direct from the government or from the individuals?
  • marcia_
    marcia_ Posts: 1,851 Forumite
    First Anniversary First Post Photogenic Name Dropper
    Options
    RichFog said:
    Is it legal for nurseries to charge a higher day rate to families using 15hours free than to those not using it?

    We have new fees coming into force in just a couple of weeks, and they’ve released a structure which charges more per day for those using 15 or 30 hours government funding then for those on “standard pricing”. Apart from being grossly unfair, I’m wondering if this is actually legal?!
     No it's not, they are not allowed to add top up fees to those receiving free hours 
  • lisyloo
    lisyloo Posts: 29,617 Forumite
    Name Dropper First Anniversary First Post
    Options
    marcia_ said:
    RichFog said:
    Is it legal for nurseries to charge a higher day rate to families using 15hours free than to those not using it?

    We have new fees coming into force in just a couple of weeks, and they’ve released a structure which charges more per day for those using 15 or 30 hours government funding then for those on “standard pricing”. Apart from being grossly unfair, I’m wondering if this is actually legal?!
     No it's not, they are not allowed to add top up fees to those receiving free hours 
    Is it a top-up fee? or perhaps a discount for the other?
    I'm not being picky, these nuances are crucial.
  • marcia_
    marcia_ Posts: 1,851 Forumite
    First Anniversary First Post Photogenic Name Dropper
    Options
     Seems like a top up to me if they're charging them a higher rate 
  • lisyloo
    lisyloo Posts: 29,617 Forumite
    Name Dropper First Anniversary First Post
    Options
    marcia_ said:
     Seems like a top up to me if they're charging them a higher rate 
    so what's the difference between nursing homes doing it and nurseries doing it?
    It happens widely across the country for the former.
  • Wonka_2
    Wonka_2 Posts: 651 Forumite
    First Post First Anniversary Name Dropper Combo Breaker
    Options
    marcia_ said:
    RichFog said:
    Is it legal for nurseries to charge a higher day rate to families using 15hours free than to those not using it?

    We have new fees coming into force in just a couple of weeks, and they’ve released a structure which charges more per day for those using 15 or 30 hours government funding then for those on “standard pricing”. Apart from being grossly unfair, I’m wondering if this is actually legal?!
     No it's not, they are not allowed to add top up fees to those receiving free hours 
    Maybe I misread but I took it that the OP is looking for more hours than the 15 'free' and is being quoted a different price for hours 16+ than someone who already pays for hours 1-15 ?

    @RichFog can you confirm ?

    I can't see any legal issue here as nurseries rates are not controlled

    At the end of the day then if they don't cover their costs then the 15hrs 'free' becomes a null point as they won't exist
  • sheramber
    sheramber Posts: 19,136 Forumite
    First Anniversary I've been Money Tipped! First Post Name Dropper
    Options
    It would be clearer if you gave details of the different charges you are talking about.

    Without that is is not possible to compare  if it  is like for like
  • Cavouranth
    Options
    Remember 15 hours free is over 38 weeks and not 52. Also the amount of money per hour is, I believe dictated by the local council. Locally here is £8.50.

    So with this in mind it's more like 10.96 hours per week if child is going full time. At £8.50 is £4844pa/£403.69pm.

    There's also something different about this Summer term where they're not receiving this full amount until September, I don't fully understand why, maybe because they don't receive the hours over Summer holiday months? Not sure.
Meet your Ambassadors

Categories

  • All Categories
  • 343.3K Banking & Borrowing
  • 250.1K Reduce Debt & Boost Income
  • 449.7K Spending & Discounts
  • 235.3K Work, Benefits & Business
  • 608.1K Mortgages, Homes & Bills
  • 173.1K Life & Family
  • 248K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards