Funding decision deferred amid accusations of stalling
The future of what is described as the "only affordable nursery" in the Square Mile has been plunged into fresh uncertainty after the City of London Corporation delayed a vital funding decision for the second time. The Aldgate School's 0-2 provision, which cares for children aged three months to three years, has been at risk under plans to change how childcare services are delivered.
Members of the Corporation's Community and Children's Services Committee (CCS) were due to vote on June 30 on whether to provide an ongoing subsidy to the school or stick to a planned cut-off in August 2027. However, Chair Deputy Helen Fentimen surprised many by proposing a deferral to September, citing concerns over the level of detail in an officers' report.
Split vote leads to deferral
The committee was split 12-12 on the proposal, leaving Deputy Fentimen to cast the deciding vote in favour of delay. The decision caused visible shock among attendees, with one parent, Jiya Dave, saying: "A tied vote means there was no majority to close this provision. That should give us hope. But we should not have to fight this hard, for this long, over £60,000, 0.02 per cent of the City's budget, to keep open the only affordable nursery for babies in the Square Mile."
The Aldgate School, located in the east of the City near the border with Tower Hamlets, has faced more than two years of uncertainty. The Corporation agreed in March 2024 to remove funding for the provision as part of wider childcare changes, but after pressure from parents and councillors, the subsidy was extended twice to run until August 2027.
School warns of closure without funding
In a report prepared for the meeting, officers revealed that in February 2025, the school's Governing Body informed the Corporation that without future funding, the 0-2 childcare service would have to end. Officers presented two options: continue the subsidy at an annual cost of £60,000, or maintain the August 2027 end date. Funding is also needed to cover three years' pay protection for four staff members moving from Corporation pay scales to National Joint Council levels.
Deputy Fentimen told members she had heard "quite a lot of comment about whether or not the information that we need to make a decision has been included in this paper," and that a deferral would allow for more up-to-date financial modelling and exploration of other funding opportunities.
Councillors express frustration
Deputy John Fletcher, representing the Portsoken ward where the school sits, spoke against the delay, saying the issue had been going on "for too long." He stated: "I don't think any more information would change anybody's mind on this committee. It is not fair on the school. It is not fair on the parents. It is not fair on the people of Portsoken."
Chief Commoner Philip Woodhouse supported the deferral, saying he was confused by the report and had "learned more on the corridors of the third floor [in the Guildhall]" than from reading it. Common Councillors David Williams and Tim McNally raised concerns about the uncertainty for parents and staff.
Deputy Nighat Qureishi questioned the need for delay, noting that figures on the service's costs had been collated. She said: "Some people here today have got a lot riding on this decision, and I really do empathise with the fact that they've had to endure this kind of way that this Corporation has been working on this paper."
Parents and governors react
Beverley Ryan, Chair of Governors at The Aldgate School, told the Local Democracy Reporting Service she was "very disappointed" by the casting vote to defer. Parent Wayne Daly said: "There is a real sense of support amongst enough of the committee members to continue the subsidy. All of the relevant facts have been published and made available to every member, so the decision to defer on the basis of needing to seek more information comes across to parents and staff as more stalling for time."
Ms Dave added that all necessary evidence had been available for months, including a formal letter from an MP and a petition. She said: "If members felt unprepared, that is not a reason to delay, it is a reason to ask why they weren't prepared, given everything that was provided to them."
Common Councillor Jason Pritchard, a Portsoken representative, expressed disappointment that families must now wait until September for a resolution. He said: "This issue has been under discussion for well over a year. Parents, staff and governors deserved certainty, yet they have instead been left in limbo."
Corporation defends approach
A Corporation spokesperson previously said they are working "collaboratively" with the school to examine costs and future models. They stated: "There is sufficient, high quality, accessible childcare for all our families across the Square Mile and we are committed to supporting eligible families to access it through Government childcare entitlements and the City Corporation's Childcare Accessibility Scheme."



