UK’s Pre-School Education Investment Trails Advanced Economies, OECD Report Reveals

A recent OECD report highlights that the UK’s expenditure on pre-school education is among the lowest of advanced economies, underscoring significant challenges in early childhood education. The report, released on Tuesday, reveals stark disparities in investment and educational outcomes across different stages of the UK’s education system.

According to the OECD, the UK spends approximately $7,462 (£5,700) per child on pre-school education, significantly below the $12,749 (£9,700) average of other OECD nations. Despite above-average spending on primary and secondary education, the UK’s relatively low investment in early years education reflects broader issues within the educational landscape. The report also indicates that the UK has the second-largest earnings gap between individuals with and without secondary qualifications, measuring 40 percent compared to the OECD average of 15 percent.

Education Secretary Bridget Phillipson, addressing the report’s findings at its London launch, emphasized the critical role of early years education. “The sad truth is that a significant part of the attainment gap is already baked in by the age of five,” Phillipson noted. She criticized the previous Conservative government for making ambitious pledges without a clear plan, particularly concerning free childcare. However, Phillipson welcomed recent progress, including the rollout of 15 funded hours for working parents, and announced plans to expand this to 30 hours by 2025. The government also aims to establish over 3,000 new nursery classes, primarily within existing schools, to address shortages and reduce educational inequalities.

The report highlights a 13 percent decline in public investment in early childhood education relative to GDP in the UK from 2015 to 2021, contrasting with a 9 percent increase across OECD countries. It also points to a notable correlation between family income and pre-school childcare uptake in the UK, with 32 percent of children from low-income families receiving care compared to 59 percent from high-income families.

In contrast, the UK spends 6.2 percent of its GDP on education from primary to tertiary levels, above the OECD average of 4.9 percent. The UK’s spending on tertiary education per student is nearly double the OECD average at $27,234 (£20,800). However, the proportion of young adults without upper secondary education remained static at 12 percent from 2017 to 2023, while the OECD average fell from 17 percent to 14 percent over the same period.

Sir Peter Lampl, founder of the Sutton Trust, acknowledged the increased funding for early years education but stressed that current funding priorities tend to focus on childcare rather than early learning. He urged the government to prioritise closing the attainment gap between disadvantaged children and their peers, calling it an urgent education priority.