Political Analysis - Current Strengths

Political Analysis

Current Strengths

The UK is a permanent member of the UN security council, G8, NATO and a member of the EU but has retained autonomy over its currency and is conservative in the issue of European integration. Politically the UK is very stable after the Conservatives won a majority of 331 out of 650 seats in the 2015 general election. According to the World Banks governance indicator the UK recorded a high percentile of 98.56 in 2014 making it one of the most successful nations in doing business. (World Bank Group, 2016)

The government has funded early childcare education for 4 year olds since 1998 and 3 year olds since 2004. In 2014 this funding was extended to 2 year olds entitling them to 15 free hours of funded education per week for 38 weeks per year. The uptake for childcare places in 2015 was unprecedented with 99% (675,000) of 4 year olds, 94% (650,000) of 3 years olds and 58% (157,040) of 2 year olds receiving free funded early education. To meet this demand, the government has increased the department of education funding for childcare from GBP5 billion to GBP 6 billion in 2015. In 2015 the childcare bill was passed which entitled 3 and 4-year-old to an additional 15 hours, in total 30 hours per week for 38 weeks. The childcare bill passed in 2014 /15 entitled an additional 600,000 families to free funded early education. As a stimulus the government has reformed employment legislation allowing parental shared leave to help mothers back into the workplace. (Gyimah, 2015) (Whitaker, 2015) With the subvention of early funded education and unprecedented demand for childcare places the early providers market has grown intensely snice the turn of the century in the UK. (Penn & Lloyd, 2013)

Figure 1 Number of 3 & 4 years olds in early funded education

Source: (Whitaker, 2015)

Current Challenges

As part of the conservative’s manifesto in returning to government they will hold a referendum in 2017 on UK’s continuing integration into the EU. This has heightened tensions in Europe with the UK further damaging relations with introduction of controversial anti-immigration legislation.

The UK early provider’s industry is demand led especially as the government expands its subsidies for early funded education. (Blanden, et al., 2014) The government has adopted the approach of the private early year providers meeting the increased demand with chains of nurseries opening in the UK. The public service for early funded education is not suitable for working families as most day public funded services are term only leaving the private early providers as the only viable option. Some observers have noted that early funded education in the private sector is incompatible with business and care,