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MPs’ report finds that workers are “prisoners to the high cost of childcare” - Usdaw calls for Government action

Retail trade union Usdaw has called for immediate Government action to help working parents who need to earn more to help make ends meet in the cost of living crisis.

20 December 2022

0 min read

The House of Commons Work and Pensions Committee finds that Universal Credit support for childcare costs is stopping parents from working for longer, because the cap it is subject to has been frozen for six years and should be uprated.

Paddy Lillis – Usdaw General Secretary says: “We agree with this cross-party committee of MPs who rightly set out the huge challenges faced by working parents, especially women, in balancing work with caring responsibilities. We hope that the Government is listening and will act to ensure greater availability of affordable childcare, along with a long overdue uprating of much needed financial support for working parents.

“We also welcome the report’s call for the removal of upfront childcare costs from Universal Credit claimants, something which currently acts as a barrier to returning to and progressing at work.

“Due to inaction from this Conservative Government, many low-income parents simply cannot afford formal childcare, something that risks reversing decades of progress women have made in the labour market and increasing the gender pay gap.

“The majority of low-paid key workers are women. These essential roles have been undervalued and underpaid for too long. Women workers need decent pay, along with more affordable and available childcare. They need new family friendly rights that give parents and carers real choices to support juggling work and family life. A comprehensive childcare provision is essential to support working parents.

“As part of any new deal for workers we need urgent and substantial reform to address the long-running childcare challenge. We welcome Labour’s commitment to a new system to give children the best start in life and parental choice, enabling them to get back into work or to increase their hours and give our economy the growth we need. It clearly shows that Labour is on the side of working people struggling to make ends meet while bringing up a family.”

Notes for editors:

Usdaw (Union of Shop, Distributive and Allied Workers) is the UK's fifth biggest trade union with around 360,000 members. Most Usdaw members work in the retail sector, but the union also has many members in transport, distribution, food manufacturing, chemical industry and other trades.

Universal Credit and childcare costs report: https://publications.parliament.uk/pa/cm5803/cmselect/cmworpen/127/summary.html

For Usdaw press releases visit: http://www.usdaw.org.uk/news and you can follow us on Twitter @UsdawUnion