During visit to hospital, chancellor says review will look at ‘cracking down on waste, cracking down on non-priority spending’

Rachel Reeves has rejected Lib Dem criticism (see 10.33am) that she is neglecting social care. She told broadcasters:

For our NHS to work effectively we need a social care system that works.

That’s why, at the budget, I put £600m into investment in social care.

High quality early education is the cornerstone of our promise to ensure tens of thousands of children are school ready every year, as part of the government’s plan for change.

The early years has been my priority from day one, because by giving more children the chance to start school ready to go, we transform their life chances, and the life chances of every child in their classroom.

Since 2019 minimum wages have shot up by 66–70% but average funding rates have only risen by 32%. On top of this the national insurance contributions increase is going to cripple providers and the only way they can cover these costs is by increasing parental fees.

We do welcome the increase in early years pupil premium to £570 which is something we have been campaigning for. It is good to see this uplift, but it is still not at the level of primary school pupil premium which is currently £1,455. The government’s rhetoric about early years must match their investment which saves millions in a child’s later years.