Governance difficulties putting voluntary sector ELC settings at risk

Date: 1 July 2025
Topic: Early Years News, Early Years Scotland News

Voluntary sector Early Learning and Childcare (ELC) settings in Scotland are facing an uncertain future because of growing governance demands.

A composite case study produced by Early Years Scotland (EYS) indicates that factors such as more staff, longer working hours, and higher financial turnover means that managing PAYE, tax, NI, pensions and charity annual returns has become a daunting task for parent-run committees. And with fewer parents stepping up to take on committee roles, many groups have serious concerns over their sustainability.

EYS is calling for tighter conditions for local authorities (LAs) when entering partnerships with third sector ELC providers, specifically that these types of providers must be part of a member organisation that can support them in charity governance and business health checks.

Read the case study here.