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Almost half of parents either in debt or using savings for early years costs, new figures show

On
Feb 20, 2024

by Jess Gibson

45.9% of parents have either been plunged into debt or had to withdraw funds from savings to keep up with early education and childcare costs, a survey from campaign group Pregnant Then Screwed has revealed. 

Conducted in partnership with Women In Data, the research surveyed 35,800 parents in total, drawing on a nationally representative sample of 5,870 parents to produce the report. 

According to the data, the number of parents going into debt or withdrawing savings to pay for early years places has increased by 30% increase since last year. 

The research also found that: 

  • nearly 34% of mothers are unable to work full-time due to early years costs and availability, compared to around 12% of fathers. 

  • 20% of mothers in England are unable to take a more senior role due to early years costs and availability, compared to 8.8% of fathers. 

  • 52% of mothers who have had an abortion either somewhat agreed or absolutely agreed with the statement: 'I believe that the cost of childcare was the primary reason for me to terminate a pregnancy鈥. 

  • 66.5% of single parents with children under five have accrued debt due to early years costs. 

The research also highlighted the difficulties families experience in being able to access places in local early years settings, with 34% citing waiting lists that extend over nine months, and just 13% of families saying there are no issues in their area. 

Joeli Brearley, CEO and Founder of Pregnant Then Screwed, said: 鈥淲e鈥檙e running out of babies. The birth rate is in decline. But parents who want to have more children cannot afford to do so. Being a parent is tough enough, but when having more children means sacrificing your income, procreation feels like financial suicide. If we aren鈥檛 careful, becoming a parent will be a luxury item, and the economy can鈥檛 afford to pay that price.鈥  

鈥淭he government has promised parents that they will soon be able to access more affordable childcare, but this will only be successful if the scheme doesn鈥檛 bankrupt childcare providers. We鈥檝e already seen that the roll out of the new funding has not been straightforward with many parents still waiting to hear if they will be able to secure a funded place, whilst many others are complaining that cost savings are minimal due to significant price increases for childcare costs outside of the funded hours. It is clear that after years of disappointment, parents are struggling to believe the promise that things will get better.鈥欌