David Cameron talks to two-year-old Theo during a visit to a London Early Years Foundation nursery on January 11, 2010 in London. Photograph: Getty Images.
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We need to end the childcare crunch on our families and the economy

Families have been hit by a triple whammy in childcare: rising childcare costs, falling early years places and cuts to financial support.

Today's important report from the IPPR lays bare the difficulties David Cameron's childcare crunch is causing for parents and for our economy. The report shows that maternal employment rates in the UK are lower than the OECD average. It finds that if we had a childcare system that worked for working mothers, we'd be able to help an extra 150,000 women into work, benefiting the public finances by up to £1.5bn a year.

Yet families have been hit by a triple whammy in childcare under this government: rising childcare costs, up 30% since 2010, falling early years places and cuts to financial support. David Cameron's cost-of-living crisis has meant parents are struggling to make ends meet and it is even more difficult for work to pay. A recent survey for Mumsnet and Resolution Foundation recently found that a third of stay-at-home mums would like to work and a fifth of those in work wanted to work more hours but couldn't because of the soaring cost of childcare. Mothers working part-time earn about 22 per cent less per hour than women working full-time, with women reporting problems accessing before and after school care. The biggest employment gap is for mothers of three and four year olds.

Flexible and affordable high quality childcare can boost the economy and make a difference for mums and dads, helping them make choices about going back to work and to work the hours they choose. This not only helps grow the economy, but it helps tackle the unfair motherhood pay penalty women face when they return to work after having children. Labour is investing in childcare to grow our economy, help make work pay and give children the best start in life. Our plans to increase free childcare provision from 15 to 25 hours for three-and-four-year-olds with parents in work will make a real difference to families struggling under this government. It will give parents choice about increasing their hours or returning to work after caring for young children. Worth £1,500, parents will be able to work part-time without having to worry about childcare costs. Guaranteeing before and after school care in a local school will help parents with the logistical nightmare of before and after school care. This primary childcare guarantee will support parents balancing work and family life.

We know women who take career breaks face a pay and status penalty for the rest of their lives. Affordable, flexible high-quality childcare is part of the answer to ensuring that parents have choices to meet their aspirations for their families. There is a gap in support at the critical 0-2 years period and I'll continue to champion support for families at this crucial time when parents make choices about returning to work.

Labour understands this dilemma and is working to alleviate the childcare crunch families' face. As we move towards the election , childcare will be centre stage and this IPPR report shows just how high the stakes are for families and the economy if the government continues to get it wrong.

Lucy Powell MP is the shadow minister for childcare and children 

Lucy Powell is MP for Manchester Central and Shadow Secretary of State for Education. 

Grant Shapps on the campaign trail. Photo: Getty
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Grant Shapps resigns over Tory youth wing bullying scandal

The minister, formerly party chairman, has resigned over allegations of bullying and blackmail made against a Tory activist. 

Grant Shapps, who was a key figure in the Tory general election campaign, has resigned following allegations about a bullying scandal among Conservative activists.

Shapps was formerly party chairman, but was demoted to international development minister after May. His formal statement is expected shortly.

The resignation follows lurid claims about bullying and blackmail among Tory activists. One, Mark Clarke, has been accused of putting pressure on a fellow activist who complained about his behaviour to withdraw the allegation. The complainant, Elliot Johnson, later killed himself.

The junior Treasury minister Robert Halfon also revealed that he had an affair with a young activist after being warned that Clarke planned to blackmail him over the relationship. Former Tory chair Sayeedi Warsi says that she was targeted by Clarke on Twitter, where he tried to portray her as an anti-semite. 

Shapps appointed Mark Clarke to run RoadTrip 2015, where young Tory activists toured key marginals on a bus before the general election. 

Today, the Guardian published an emotional interview with the parents of 21-year-old Elliot Johnson, the activist who killed himself, in which they called for Shapps to consider his position. Ray Johnson also spoke to BBC's Newsnight:


The Johnson family claimed that Shapps and co-chair Andrew Feldman had failed to act on complaints made against Clarke. Feldman says he did not hear of the bullying claims until August. 

Asked about the case at a conference in Malta, David Cameron pointedly refused to offer Shapps his full backing, saying a statement would be released. “I think it is important that on the tragic case that took place that the coroner’s inquiry is allowed to proceed properly," he added. “I feel deeply for his parents, It is an appalling loss to suffer and that is why it is so important there is a proper coroner’s inquiry. In terms of what the Conservative party should do, there should be and there is a proper inquiry that asks all the questions as people come forward. That will take place. It is a tragic loss of a talented young life and it is not something any parent should go through and I feel for them deeply.” 

Mark Clarke denies any wrongdoing.

Helen Lewis is deputy editor of the New Statesman. She has presented BBC Radio 4’s Week in Westminster and is a regular panellist on BBC1’s Sunday Politics.