Debt management a high priority due to soaring childcare bills
Debt management a high priority due to soaring childcare bills
- Tuesday, 16 February 2010Debt management may become more pertinent for UK parents, as they find themselves faced with soaring childcare costs.
Research from the Daycare Trust reveals that the cost of childcare has risen above the rate of inflation for all types of childcare, with the cost of a nursery place for those over two-years-old rising by 5.1 per cent.
The results are based on 25 hours of childcare a week, or 15 hours for after-school clubs.
The average yearly expenditure for English parents funding nursery care of a child under two is £4,576 with Scottish parents paying £4,368 and those in Wales £4,056.
On average 25 hours of nursery care costs £88, compared to average part-time earnings of £153 per week, according to the study.
Commenting on the figures, Daycare Trust chief executive Alison Garnham said: "Over the last year, families across the UK have been hit hard by the impact of the recession, with parents facing the strain of losing jobs; having their hours cut back; or facing pay cuts - all of which is compounded further by childcare costs shooting up."
A new report by the Institute for Public Policy Research states that in the decade to 2008, average household debt in the UK increased from 93 to 161 per cent of disposable income.

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