By John Baron
Leeds City Council is set to raise the cost of attending its Little Owls nurseries by 5%.
The decision will affect attendees at all 19 council-run Little Owls nurseries across Leeds, including Bramley, Hawksworth Wood, Armley Moor and Burley Park.
The price rise starts in September and will see the daily cost for children increasing by £3.10 a day to £64.10.
A council report authorising the increase said: “It is crucial that annual price increases are set appropriately to ensure the Little Owls service moves to a financially sustainable footing and operates within budget over the course of the medium-term financial strategy.
“Most families using the service are in receipt of some element of funded or discounted provision.”
The service has in recent years been subject of a cost-cutting exercise by the council, with three nurseries closing. The council also carried out a market sounding exercise for a further 12 settings, which resulted in just two settings being transferred to alternative providers.
The report adds:”Of these savings targets, £988k has been achieved from these closures/transfers and £822k remains outstanding and has been carried forward into 2026/27. The Little Owls consultation generated significant public interest from parents and carers of children attending the settings. One of the questions raised was whether alternative measures are being considered, such as increasing childcare fees, to improve the financial position of the service.”
A council report says around 9% of families pay the childcare fee daily rate. Of the fee payers, 59% are able to claim up to 30 hours funded early entitlement per week. Any families claiming universal credit can get help with childcare costs for up to 85% of costs. Tax free childcare has been rolled out to all full day care Little Owls settings, enabling working parents to access additional 20% discount on day care fees.
“This increase will aim to close the gap between actual costs incurred and potential income. This would reduce the overall deficit and improve the financial sustainability of the Little Owls provision,” the report adds,
“Maintaining the Leeds City Council Little Owls provision ensures that vulnerable children and their families’ can access funded nursery provision to support their child’s development and secure their safety.”
Little Owls Nurseries are the single largest provider of nursery places in Leeds, looking after more than 2,900 children each week across the city.
The full council report can be read here.