Childcare costs in London are rising seven times faster than wages, according to Trades Union Congress

Childcare costs have risen up to seven times faster than wages since 2008, according to new research.

The average cost of childcare in England for parents of a one-year-old rose 48 per cent between 2008 and 2016, with a wage increase of only 12 per cent in cash terms over this time.

London took the biggest blow, as childcare costs rose 7.4 times more quickly than pay, the research published by the Trades Union Congress (TUC) suggested.

Nursery costs for children under two climbed 59 per cent in London between 2008 and 2016 compared to an 8 per cent wage increase.

Frances O’Grady, TUC General Secretary, said: “Nearly a million working parents with one-year-old kids have eye-watering childcare bills.

“The cost of childcare is spiralling but wages aren’t keeping pace. Parents are spending more and more of their salaries on childcare.”

The TUC have called for employers to play a bigger part in funding childcare and they suggest bosses should directly subsidise employees.

The research found the percentage of wages spent on childcare by two parents working full time rose three percentage points, from eight per cent to 11 per cent. A single working parent spent more than a fifth of their income on childcare in 2016, compared to a sixth in 2008.

Earlier this week, figures published by the Office for National Statistics showed inflation in the UK has risen by its most since April 2012.