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Eastside People The Eastside People Logo

PACEY finds partner to secure future as champion for childminders

Eastside People

Coram PACEY logo

The question was not whether change was needed, but how to secure PACEY’s mission — supporting and championing childminders — for the long term.

The decision was taken to explore whether PACEY’s future would be best protected as part of a larger organisation.

Coram PACEY Transfer a child minder with 4 multi ethnic children drawing with coloured pencils

Project

Six week project to help PACEY’s Board and senior team to define and run a focused, disciplined search for a suitable larger charity partner that could sustain and strengthen PACEY’s work.

Eastside People team members involved: CEO Richard Litchfield and consultants Gemma Pugh and Nick Deakin.

Outcome:

By supporting PACEY to identify a larger charity that could genuinely sustain and strengthen its role as a champion for childminders, Eastside People helped ensure that PACEY’s work continues — not as a legacy, but as a living, active part of the early-years sector.

Background

In early 2025, PACEY (the Professional Association for Childcare and Early Years) faced a stark but familiar challenge for organisations across the early-years sector. Since the pandemic, funding for early-years support had reduced significantly, public-sector contracts had continued to decline, and the long-term fall in childminder numbers had accelerated.

PACEY’s Board and leadership were clear about what this meant. While the organisation remained respected, mission-led, and operationally strong, it could not rely on the funding environment improving. The question was not whether change was needed, but how to secure PACEY’s mission — supporting and championing childminders — for the long term.

The decision was taken to explore whether PACEY’s future would be best protected as part of a larger organisation.

Starting with the right problem — not a pre-set solution

PACEY engaged Eastside People in a six week project to support this work. The Eastside People team consisted of CEO Richard Litchfield and consultants Gemma Pugh and Nick Deakin.  Eastside People’s role was not to “do a merger”, but to help PACEY run a focused, disciplined search for a suitable larger charity that could sustain and strengthen PACEY’s work.

The first step was clarity.

Rather than starting with a list of potential partners, Eastside People worked with PACEY’s Board and senior team to define what a good outcome would actually look like. This meant being explicit about what had to be protected, not just what needed to change.

For PACEY, those priorities were clear:

  • continuing to be a strong national champion for childminders
  • protecting continuity for its 14,000 members
  • maintaining credibility, trust, and voice within the sector
  • ensuring any future structure enhanced, rather than diluted, PACEY’s purpose.

As Helen Donohoe, Chief Executive at the time, explains:

“The direction of travel in early years funding was very clear after the pandemic. We needed to act, but we needed to act in a way that protected our members and our integrity. This wasn’t about finding any partner — it was about finding the right one…

Eastside People’s specialist merger team helped us to translate these priorities into a clear and practical set of partner selection criteria.”

Turning values into partner criteria

These translated priorities went well beyond size or financial strength.

The criteria tested potential partners against questions such as:

  • Would they actively support and champion childminders?
  • Could they integrate PACEY’s services without disrupting members?
  • Did they have experience of absorbing organisations while preserving identity and voice?
  • Was there cultural alignment around children’s outcomes and sector advocacy?

“Equally important, Eastside People helped the Board articulate red lines – the types of partnership that would look attractive on paper but would undermine PACEY’s role or credibility in practice.” added Helen. “This clarity allowed the search to move quickly without becoming reckless.”

Childminder with 4 young children reading a story Coram PACEY case study 600 x 400 Childminder with a young child playing on a mat Coram PACEY case study 600 x 400

A short, focused search — run with discipline

The partner search itself was deliberately tight and time-limited, reflecting the financial urgency PACEY was operating under. A solution that all parties agreed to was needed in less than two months.  Eastside People supported a small number of targeted conversations with credible organisations that already operated in the children’s and early-years space.

Rather than a broad or speculative process, the emphasis was on quality of alignment, not volume of options. Eastside People acted as an honest broker throughout — structuring conversations, stress-testing assumptions, and helping the Board distinguish between emotional comfort and strategic fit.

Helen reflects on the value of that support:

“What made the difference was having calm, experienced, objective support from Eastside People. When you’re under pressure, you need people who can keep things grounded and help you make decisions you’ll still stand by later.”

Why CORAM emerged as the right partner

Through this process, CORAM emerged as the organisation that best met PACEY’s criteria.

CORAM’s long-standing commitment to children’s wellbeing, its experience in the early years sector and of integrating membership organisations, and its ability to provide strong central infrastructure all aligned with what PACEY needed. Crucially, CORAM was also able to support the continuation of PACEY’s role as a distinctive voice for childminders, rather than absorbing it into a generic children’s offer. Finally CORAM are highly experienced and have a team ready to amalgamate of transfer charities supporting children and young people.

Eastside People supported the Board through the final evaluation and decision-making process, ensuring trustees were clear about both the opportunities and the risks — and confident in the choice they were making.

From decision to delivery

Once the Board selected CORAM, events moved quickly. PACEY was put into Managed Administration where the Administrator was responsible for achieving the best outcome and they were able to transfer PACEY operations to CORAM.  CORAM managed the smooth transfer with support from Helen, members of her senior team, and key PACEY Trustees. The involvement of administrators compressed timelines significantly, and the final weeks were intense with CORAM and the PACEY administrator managing the final stages of the transfer process.

One issue highlighted the stakes clearly: the continuity of specialist insurance for childminders. Any failure here would have meant thousands of practitioners being unable to work overnight, with immediate consequences for families and children.

Because the partner search had been well run and roles were clear and Coram has a clear model and criteria, decisions could be taken quickly without confusion or loss of control.

“The last couple of weeks were intense,” Helen recalls. “But the process of managing the merger had been so well organised that we could move at speed. Our members could carry on working the next day — that was the real test.”

Reflections from CORAM

Pacey transferred into CORAM on 1st May 2025 and is now run under the name CORAM Pacey in England and CORAM Pacey Cymru in Wales.

Dr Carol Homden, CEO of CORAM, commented that Eastside People were professional throughout and paid tribute to Helen Donohoe, Pacey CEO and Dr Amy Page Pacey Chair for seeing the smooth transfer of Pacey through. She summed it up by saying:-

“We’ve been delighted to complete this process with Eastside People and take up the baton of Child Minders in England and Wales with CORAM Pacey and CORAM Pacey Cymru.  We  will continue the mission now we have secured a financially sustainable and resilient future”

What this case study shows

PACEY’s experience illustrates a core lesson of the Good Merger Index: that all good mergers start with good searches.

Key takeaways include:

  • Urgency does not excuse poor process — it makes good process essential
  • Clarity about mission and red lines enables faster, better decisions
  • Independent support helps Boards stay strategic under pressure
  • Protecting beneficiary voice must remain the guiding test.

By supporting PACEY to identify a larger charity that could genuinely sustain and strengthen its role as a champion for childminders, Eastside People helped ensure that PACEY’s work continues — not as a legacy, but as a living, active part of the early-years sector.

 

The direction of travel in early years funding was very clear after the pandemic. We needed to act, but we needed to act in a way that protected our members and our integrity. This wasn’t about finding any partner — it was about finding the right one… Eastside People’s specialist merger team helped us to translate these priorities into a clear and practical set of partner selection criteria.

Helen Donohoe, Chief Executive, PACEY

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