Modernisation Programme FAQs: Cedar House Nursery
Last updated: 11/09/2024
South London and Maudsley NHS FT and King’s College Hospital NHS FT have been exploring alternative options for delivering a nursery after the announced closure of Mapother House. Having extensively explored options for the future of Cedar House Nursery and King’s College Hospital Day Nursery over the last few years, we have regrettably found continued provision financially unviable. As a result, we will be closing these nurseries in 2025.
We have explored many options including sourcing an alternative building in the local area, building a new nursery facility and most recently looking at the opportunities for having a joint nursery. Unfortunately, due to the financial climate and the deficits facing both Trusts, we have found that we would not be able to run a nursery in a financially neutral way without significantly increasing fees beyond the cost of private nurseries.
The exploration of a joint nursery provision was the final opportunity for both organisations to try and continue providing a nursery service after exploring individual options, including private nurseries and alternative local provisions.
This is not the outcome that we had hoped we could achieve, but the financial positions we are in, combined with the lack of viability for Mapother House as a long-term base, has meant that despite an exhaustive search, we cannot identify a way to continue the provision.
We recognise that this is an unsettling time for the families that use the nursery and our members of staff who provide our nursery services. We have met with our nursery user group and written to all parents to let them know about the closure. We have also been working with the nursery management teams and have met with affected staff. Our People teams will continue meeting with staff and provide support as we transition towards closure.
Key Questions
1. Why is the Cedar House Nursery being closed?
Having extensively explored options for the future of South London and Maudsley’s Cedar House Nursery and King’s College Hospital Day Nursery over the last few years, we have regrettably found continued provision financially unviable. As a result, we will be closing these nurseries in 2025.
As you know we have been exploring alternative options for delivering a nursery after the announced closure of Mapother House. We have explored many options including sourcing an alternative building in the local area, building a new nursery facility and most recently looking at the opportunities for having a joint nursery between our two Trusts. Unfortunately, due to the financial climate and the deficits facing both Trusts, we have found that we would not be able to run a nursery in a financially neutral way without significantly increasing fees beyond the cost of private nurseries.
2. Why aren’t we able to pay for the nursery?
The nurseries are currently run at a loss, and given the current financial debt we are in, it is no longer sustainable for us to run these. We have been exploring alternative options for the nursery for the last few years, including a private nursery provision and a partnership nursery between South London and Maudsley and King’s College Hospital.
Unfortunately, when looking at these options, the financial modelling has shown that for us to run a nursery in a cost neutral way, we would have to increase fees beyond the fees of other private nurseries, and a guaranteed 85% occupancy rate. This has therefore meant that we cannot now continue to run a nursery provision, as it does not make sense to run a nursery that is beyond the cost of other private nurseries, and then have a guaranteed 85% occupancy at this rate.
3. How many people are affected by this decision?
Out of the over 20,000 staff members that both Trusts employ, we have a combined 45 members of staff with children using the nurseries affected by this decision.
There are 13 staff members working at Cedar House Nursery and 24 staff at King’s College Hospital Day Nursery who will also be affected.
4. When will the nursery close?
The nurseries are scheduled to close at the end of February 2025, giving parents and staff six months’ notice. We are committed to providing you with sufficient notice and support during this period. Our HR and childcare support teams will be available to assist you throughout this process.
5. Is it possible for the nursery to stay open longer?
We do not anticipate extending the closure date. However, if there are any changes to the timeline, we will update staff and users as soon as possible.
6. Why are the Trust and King’s College Hospital both closing their nurseries?
Neither King’s College Hospital nor South London and Maudsley can afford to keep running their nurseries at a loss given the current financial debts. A partnership between both, hosted at South London and Maudsley Trust, was the final opportunity for both Trusts to explore, having exhausted alternative options.
The financial modelling has shown that for us to run a nursery in a cost neutral way, we would have to increase fees beyond the fees of other private nurseries, and a guaranteed 85% occupancy rate. This has therefore meant that we cannot now continue to run a nursery provision as it does not make sense to run a nursery that is beyond the cost of other private nurseries, and then have a guaranteed 85% occupancy at this rate.
7. What will happen to nursery staff?
The nursery staff are valued members of our teams, and we are committed to supporting them through this transition. Affected staff will be consulted on their options, including possible redeployment within their NHS Trust. Where redeployment is not feasible, we will offer support through outplacement services, career counseling, and redundancy packages in line with NHS guidelines. Our goal is to ensure that all nursery staff are treated with fairness and respect throughout this process.
8. What is the consultation process for nursery staff following the announcement of the closure?
A formal 30-day consultation process will be conducted in line with each Trust's policies and legal obligations. This will involve discussions with the affected staff, their representatives, and other stakeholders. During the consultation period, we will listen to any concerns and explore all options, including redeployment opportunities. The feedback gathered during the consultation will be carefully considered before any final decisions are implemented.
9. How will you assist parents in finding alternative nursery arrangements?
We understand the importance of reliable childcare for our employees and their families. While we are committed to assisting parents in finding alternative arrangements, we recognise that this may be challenging for some. Our nursery teams are available and currently supporting parents’ future plans around nursery and school, and this support will continue until all parents have an alternative nursery place.
