Full rates relief for Welsh nurseries announced

The Welsh Government has announced that day nurseries in Wales will be exempt from paying non-domestic rates from April 2019.

All registered childcare properties will have 100% rates relief, which is estimated to provide £7.5m of additional support to childcare providers over three years.

Finance Secretary, Mark Drakeford said: “Earlier this year we increased the amount of rates relief we provide for registered childcare providers across Wales. We know a significant number of businesses are already benefiting but we want to do more.

“Today’s announcement means that from April 2019, the childcare sector in Wales will be exempt from paying rates. This will help childcare providers become more established, supporting the sector to operate and grow.

“This will help to create new childcare jobs and help to create new and maintain existing childcare places across Wales.”

The childcare sector generates an estimated £1.2bn for the Welsh economy. In recognition of the sector’s economic role and in supporting the delivery of the childcare offer, Ministers are prioritising investment to support growth across the sector. This investment is being developed as bespoke business and skills assistance.

The Welsh Government’s 10-year Childcare, Play and Early Years Workforce plan, which was published in December 2017, aims to professionalise the sector and recognises its key economic enabler role by supporting parents and carers to access and remain in employment.

The Welsh Government introduced a new permanent small business rates relief (SBRR) scheme to support small businesses with their non-domestic rates bills in 2018; this included increasing the relief available for registered childcare providers.

The new exemption for childcare premises, reducing rates bills for childcare providers to zero, builds on the permanent SBRR scheme.