Workforce Crisis in Early Years: Urgent Action Needed

The early years sector in the UK is at a tipping point. Rising demand for childcare, an expanding workforce gap and retention challenges are creating a perfect storm for providers.

For nursery owners, managers and directors, the pressure is mounting, not just to fill places but to maintain high-quality provision that children and families want. 

While the situation is serious, there are practical solutions that can make a real difference. Apprenticeships have proven to be an effective way to recruit new talent, retain staff and upskill teams for the future. 

 

Recruitment: Filling the Gaps 

As of September 2025, the government has expanded the 30-hour childcare entitlement, resulting in an estimated 84,500 additional childcare places and the need for around 40,000 extra staff (PAC/DfE). For many nurseries, finding qualified staff is already a struggle: 78% of early years settings report recruitment difficulties, and half have had to limit intake as a result (EY Alliance survey). 

 Apprenticeships offer a practical solution. They enable settings to attract enthusiastic early-career talent; people who are eager to begin their journey in childcare and bring fresh energy to the team. 

Apprentices also develop essential skills in child development, safeguarding, communication and teamwork, all while gaining real-world experience that helps them grow into confident, capable practitioners. For employers, this approach means shaping staff from the very start, building a workforce that reflects their values and delivers consistent, high-quality care. 

 

Retention: Keeping Staff Motivated 

Staff retention is a pressing concern, with 57% of nursery staff and 38% of childminders considering leaving within the next year (University of Leeds, Early Education and Childcare Coalition). High turnover disrupts teams, affects children’s care and drives up recruitment costs. 

 Apprenticeships give staff structured development and recognised qualifications, creating a clear route to progress from entry-level roles right up to leadership positions. New practitioners can begin their journey with a Level 2 qualification, build confidence and knowledge at Level 3 and move on to advanced learning at Level 5, developing into room leaders, managers and early years specialists. More experienced employees can start at Level 5, learning those higher-level skills that help them progress within your organisation. 

For employers, this means growing skilled, qualified professionals who understand their setting and want to build their careers within it. Investing in development in this way helps reduce turnover, boosts morale and creates a culture where people feel valued, supported and inspired to stay. 

 

Qualification Gaps: Meeting Compliance and Quality Standards 

A decline in Level 3 enrolments has left nurseries with fewer qualified staff.  Indeed, data from ‘The Early Years Workforce in England 2025’ shows that in 2024 about 80% of staff in group-based providers and 75% of childminders held at least a Level 3 qualification, meaning that 20-25% were working below that benchmark.  

With nearly a quarter of practitioners under-qualified, settings face increased risk of failing to meet the required staff-to-child ratios, and quality can suffer when less-qualified staff are relied upon to step in. Continuing to bridge that qualification gap is therefore vital for both compliance and excellence in early years provision. 

Apprenticeships allow new and existing staff to gain these qualifications while working, improving compliance, staff confidence and the overall quality of provision. By embedding apprenticeships, nurseries can build a workforce ready for both current demands and policy changes like the expanded 30-hour entitlement. 

 

Financial Pressures: Making Growth Affordable 

Rising costs and underfunding make hiring experienced staff challenging. Funding has risen by around 21%, while the Living Wage has increased by 58–62% (NDNA). 

 For nurseries and early years settings already working within tight margins, apprenticeships provide a vital way to grow without overstretching budgets. Training costs are largely covered through government funding, and employers who pay into the Apprenticeship Levy can use those funds directly to support staff development.  

Even for smaller providers, levy-gifting options from larger employers make apprenticeships an affordable choice. By recruiting apprentices or upskilling existing team members through funded programmes, settings can build capacity, strengthen their workforce and plan for future demand, all while keeping salary and recruitment costs manageable. This approach allows nurseries to invest in people for the long term, rather than relying on short-term fixes that can cost more over time. 

 

Turning Crisis into Opportunity 

The expansion of free childcare is a huge opportunity, but only if the sector is ready. With apprenticeships playing a key role in training and developing staff, providers can grow their teams, maintain quality care, and ensure that every child gets the best possible start in life. 

Nursery Manager Vicki Foy, from Dunky’s Day Nursery Culcheth, notes, “Apprenticeships are so important, I’ve always thought they’re brilliant. 

Apprentices learn on the job and you can mould that person into who you need them to be. They fit into the team much better that way. Apprentices are definitely the way forward.

Level 2 Early Years Practitioner Lilly agrees. 

I would recommend doing an apprenticeship because I think it's the best way to learn things on hand. It's the best way to get the experience. I mean, you can learn everything in a book, but when you're actually in the setting and putting it into practice, it's so much easier to learn. And it's just a really, really lovely job.

Total People are committed to delivering tailored, high-quality training to help childcare providers take advantage of the opportunities that September will bring. We can offer help with funding, reskilling, recruitment and all the paperwork as well as offering ongoing support for you and your apprentices. 

Call us on 03333 222 666 or visit https://www.totalpeople.co.uk/apprenticeships-for-employers/early-years-teacher-education/