Clegg kills off bid to cut cost of childcare: U-turn angers Tories and deals a blow to parents Deputy PM to block moves to allow childminders to look after more children DfE says the change would have slashed cost of childcare by 28 per cent But some parents and nurseries argued that care would have suffered U-turn: Nick Clegg, the Deputy Prime Minister, said he would now block any attempt to increase the number of infants a childminder can care for Nick Clegg was accused of "turning his back on working parents" last night after he vetoed controversial childcare reforms. Dealing yet another blow to the Coalition, the Deputy Prime Minister said he would now block any attempt to increase the number of infants a childminder can care for, despite previously having backed the plans. It has been estimated that the measure could have saved parents nearly a third on their childcare bills. Mr Clegg's decision raises questions about where power lies in the Coalition and will infuriate many Tories, including the Education Secretary Michael Gove. A senior Number 10 source last night said the final childcare package "has not yet been agreed." Asked about Mr Clegg's actions, the source said: "It is not a good way to behave - it's best to announce things when they have been agreed." A study by the Department for Education found the changes, which were due to be introduced in September, could have slashed the cost of childcare by up to 28 per cent. The analysis suggested the move could save parents an average £1,329 a year per child if it was widely adopted by nurseries. But the proposal faced a backlash from influential parenting website Mumsnet and some parents, nurseries and childminding organisations, which argued that care would suffer. Ministers stressed that the new child-to-carer ratios would be voluntary, and cited extensive evidence from other countries suggesting the change would cut costs without damaging the quality of care. Tory MP Chris Skidmore accused Mr Clegg of ignoring the plight of parents faced with crippling childcare bills. Mr Skidmore, a member of the Commons education committee, said: "This is a huge U-turn from Mr Clegg and undermines his claim that he wants cheaper childcare." Mr Clegg last night dismissed the DfE's analysis, saying there was "no real evidence that increasing ratios will reduce the cost of childcare for families." He added: "I have concluded that, because it will not reduce costs for parents or increase the quality of childcare, the proposed ratio changes for pre-school children cannot proceed." Relaxation: Under the proposals one childminder would have been able to look after four babies under the age of one instead of three, and one adult would also have been able to look after six two-year-olds instead of four Yesterday he telephoned leaders in the childcare sector and told them the plans were "dead in the water." Mr Clegg's decision to wield the veto - and David Cameron's apparent inability to stop him - is a major setback to Childcare Minister Elizabeth Truss, who had championed the reforms. One Government source said she had been "hung out to dry." The move is also a blow to Michael Gove, who said last month that the case for change was "formidable." 'Hung out to dry': Mr Clegg's decision to veto the relaxing of childcare regulations is a major setback to Childcare Minister Elizabeth Truss, left, and a blow to Education Secretary Michael Gove, right From September, one childminder would have been able to look after four babies under the age of one instead of three. One adult would also have been able to look after six two-year-olds instead of four. Mr Clegg signed off on the plans in January, but got cold feet last month after private talks with figures at Mumsnet. Downing Street last night stressed the childcare package had not been finalised.