27 October 2016
CBI urges Chancellor to spend £2bn on childcare to free up women to work
More women would be in work if the Government were to spend £2 billion a year on childcare, the Confederation of British Industry (CBI) is urging.
Offering 15 hours per week of free childcare for all one to four-year olds would boost the economy and female jobs by around 2% the organisation reports.
If the Government were to introduce this pre-school subsidy then income tax alone will cover the £2 billion bill by creating almost 300,000 extra jobs.
The move is one of several ideas the business group has submitted to the Chancellor, including extending statutory parental pay to 52 weeks.
The CBI is urging Philip Hammond to use his first Autumn Statement since his appointment as chancellor in July, as opportunity to demonstrate it is supportive of business".