What is the difference between a nursery, a childminder, a preschool and a nanny?
They differ in setting, regulation, ratios and cost, and the right answer depends far more on your child and your hours than on any general ranking.
Day nursery. A group setting in dedicated premises, staffed by a team, usually open long hours across the full year. Children are grouped by age and move up rooms.
Strengths: reliable — it does not close because one person is ill; structured routine; lots of peer interaction; resources and outdoor space; staff with early years qualifications.
Trade-offs: larger groups, less individual attention, fixed session times, and illness circulates, which is genuinely relentless in the first year.
Childminder. A registered individual caring for a small number of children in their own home.
Strengths: home environment, very small group, mixed ages so siblings stay together, consistent single carer, and frequently more flexible hours. Often the best fit for younger babies and children who find groups overwhelming.
Trade-offs: no cover if they are ill or on holiday unless an assistant or backup is arranged; one adult's approach rather than a team's; fewer resources.
Preschool or playgroup. Sessional care, typically for ages two to four, running term time and school hours — designed around the free entitlement hours rather than around working parents. Strong on school preparation and usually the cheapest option, but rarely sufficient for full-time work.
Nursery class or school nursery, attached to a primary school, similar pattern.
Nanny. Employed by you, caring for your children in your home.
Strengths: complete flexibility, no travel, care in the child's own environment, sick children can stay home.
Trade-offs: the most expensive by a distance; you become an employer, with contracts, payroll, pension and insurance obligations; and nannies are not required to register unless voluntarily on the Ofsted register — which matters, because funded hours generally require a registered provider.
What to check in any setting: the inspection report; staff turnover, which is the most telling indicator; ratios; how settling-in is handled; and how they communicate with parents.
Funding entitlements differ by nation and provider registration — check current rules.