Kent County Council is changing its childcare voucher provider to AllSave UK from September.
Jane Vivier, reward adviser at the council, said: "We were looking for someone that could grow the business and communicate to all our staff." Previous provider, Busy Bees Childcare Vouchers, lost out in a tender after the council had raised customer service and employee communication issues.
Iain Beadle, sales and marketing director at Busy Bees, said: "We are continually striving to improve levels of service and are sad to lose any clients. Due to the level of service we provide, we have retained 97.6% of our top 500 clients over the last two years. We are improving systems to provide clearer information to child carers."
