Simulating Employment and Fiscal Effects of Public Investment in High-Quality Universal Childcare in the UK

Autor/in	De Henau, Jerome
Titel	Simulating Employment and Fiscal Effects of Public Investment in High-Quality Universal Childcare in the UK
Quelle	In: International Journal of Child Care and Education Policy, 16 (2022), Artikel 3 (27 Seiten)Infoseite zur Zeitschrift PDF als Volltext Verfügbarkeit
Zusatzinformation	ORCID (De Henau, Jerome)
Sprache	englisch
Dokumenttyp	gedruckt; online; Zeitschriftenaufsatz
ISSN	1976-5681
DOI	10.1186/s40723-022-00096-y
Schlagwörter	Educational Quality; Child Care; Early Childhood Education; Employment; Federal Aid; Educational Benefits; Public Policy; Employment Opportunities; Mothers; Females; Expenditures; Child Caregivers; Preschool Teachers; Teacher Student Ratio; Labor Needs; Supply and Demand; Family Income; Taxes; Costs; Foreign Countries; United Kingdom + Suchen Sie Ihr Suchwort? Quality of education; Bildungsqualität; Kinderfürsorge; Kinderbetreuung; Early childhood; Education; Frühkindliche Bildung; Frühpädagogik; Dienstverhältnis; Bildungsertrag; Öffentliche Ordnung; Berufschance; Beschäftigungschance; Mother; Mutter; Weibliches Geschlecht; Ausgaben; Caregiver; Caregivers; Carer; Child; Children; Pre-school education; Preschool education; Erzieher; Erzieherin; Kindergärtnerin; Vorschulerziehung; Vorschule; Lehrer-Schüler-Relation; Labour needs; Arbeitskräftebedarf; Bedarfsplanung; Familieneinkommen; Abgabe; Cost; Kosten; Ausland; Großbritannien
Abstract	This paper simulates the likely fiscal and employment effects of a vast public annual investment programme of free universal high-quality early childhood education and care (ECEC) services in the UK. It examines the extent to which it would pay for itself fiscally for different scenarios of pay increases. Investing in high-quality universal ECEC benefits all children by improving their life chances, especially for those living in lower income families. It also generates larger employment effects than other more typical investment policies such as construction projects and fosters gender equality in employment: not only it provides many high-quality jobs for women, it also allows many mothers to improve their lifetime earnings prospects by freeing up their childcare constraints. This in turn has beneficial fiscal revenue effects for the government. Estimations of annual public expenditure for a system of highly qualified and well-paid childcare staff with low child-to-staff ratios are performed, with universal coverage for all pre-school children aged 6 months to 4.5 years. Labour demand and matching supply effects are also simulated using input-output methods, for different take-up rates of the programme. A microsimulation tool is used to calculate increases in household income and tax liabilities and decreases in social security benefits spending. This results in a net annual funding requirement of between 28 and 39% of the gross investment. Two funding methods are then explored: raising taxation in a progressive way and recouping the cost over time from persistent mothers' increased earnings. The former would entail a net additional contribution by the richest 20% of households of at most 0.4% of their income; the latter would require 21 to 31 years to offset the programme on average, which is within a typical working life-course following a first child's birth, of 35 years. (As Provided).
Anmerkungen	Springer. Available from: Springer Nature. One New York Plaza, Suite 4600, New York, NY 10004. Tel: 800-777-4643; Tel: 212-460-1500; Fax: 212-460-1700; e-mail: customerservice@springernature.com; Web site: https://link.springer.com/
Erfasst von	ERIC (Education Resources Information Center), Washington, DC
Update	2024/1/01