Industry Analysis & Industry Trends
One of the major by-products of the modernisation of the UK and global economies has been the introduction of more women into the workforce. Women now have an employment rate of 70%, compared with 78% for men, a distinct shift from the 56% to 92% ratio of the 1970s. A major offshoot of this has been a rapidly increasing need for childcare services to cater for the increase in working mothers, single parents and two-income families.
The government introduced a childcare voucher scheme in 2005 to encourage parents to return to the workforce... purchase to read more
Industry Report - Industry Investment Chapter
The industry has very low capital intensity. Unlike a manufacturing industry, a service industry such as this one does not require machinery. The only depreciable assets include equipment used by the children or staff, such as kitchen equipment to prepare food.
The level of capital intensity for the industry is unlikely to alter significantly over the next five years. Expenditure on wages accounts for a larger proportion of revenue than depreciation does, with a typical organisation in the industry using approximately 15.6 units of labour for each unit of capital. Accommodation represents the only capital requirement to facility-based childcare. However, managed funds are providing a vehicle to sell and lease back freehold property... purchase to read more