Pay rise for nannies as mothers cut short their maternity leave

Nannies are in demand in London because so many professional women are cutting short their maternity leave in the downturn.

Average pay for a full-time daily nanny in central London increased more than three per cent last year to £32,216 at a time when most employees face pay freezes. For live-in nannies the average pay in London was £23,949.

The rise reverses a sudden drop in nanny pay in 2008 when the recession first hit the City and many wealthy families laid off their nannies because one parent had been made redundant. Payroll service Nannytax said the unexpected reversal reflected the number of mothers returning to work early because their husbands had lost their bonuses or had had their pay cut in other ways. Many of these families were also sharing nannies to cut costs.

Andrew Myers, chief executive of Nannytax, which carried out the research with Nursery World magazine, said: "Nannies who are prepared to be flexible and work for more than one employer can expect a good salary, and parents who team up with other families now have access to top-quality childcare that won't cost the earth."

Clapham nanny Lisa Wilkins, 34, said: "All of my friends do nanny share because you get paid more."