The competition watchdog has opened an investigation into the affordability and availability of childcare in England amid concerns that “too many families are struggling” with the system.The Competition and Markets Authority (CMA) said its review will consider the challenges families face finding suitable childcare as well as pressures on providers in England.It will include early years education and childcare from birth until children start school, such as nurseries, childminders and in school-based settings.The study will look at the availability of childcare places, affordability for families and the costs faced by providers alongside government funding.It will also consider whether families can make effective decisions about choosing a place for their child, and how market practices affect these choices.The CMA said its analysis would pay particular attention to the role of government policy and public bodies.There are more than 53,000 childcare providers in England for children aged up to four, with an estimated 1.6 million places.The sector in England is worth approximately £14 billion to the economy annually, the CMA said.Government-funded support now plays a major role in the sector, with around £8.91 billion of taxpayer funds spent over the last year.Get a free fractional share worth up to £100.Capital at risk.Terms and conditions apply.Go to websiteADVERTISEMENTGet a free fractional share worth up to £100.Capital at risk.Terms and conditions apply.Go to websiteADVERTISEMENTUniversity College London found places offered by private equity providers has doubled, accounting for 8% of places in 2024, while there has been an 8% decrease in places by not-for-profit providers and a 28% reduction in places by partnership providers between 2018 and 2024.The Department for Education also found there has been a 39% decline in childminders between 2018 and 2025.CMA chief executive Sarah Cardell said: “Early years education and childcare is a lifeline for many families, helping children get the best start in life and enabling parents to go out to work.“We know how important it is to find affordable providers close to home that parents can trust. But too many families are struggling to find the right place at an affordable price, with providers also under real pressure.“We’re going to take a close look at where change may be needed as part of our commitment to support economic growth and household prosperity, so the system works well for families and providers alike.”