I don't think for one moment that this situation will force the nursery out of business.
I also don;t believe that the legal action is motivated by 'nastiness' - but rather by what the parents see as a legitimate case of predjudice against them.
I think it will be very difficult for the minister to prove to the satisfaction of a court that his child's place refusal is based on ethnic grounds - the nursery can, and no doubt will, produce a long list of criteria for admission and refusal, starting with the fluid changes in place numbers than can mean that in this case, when the minister applied there was not a place, and when a 'white-sounding' family or families aplied, places were available.
It will be for the minister's legal team to prove beyond reasonable doubt that racism was a direct and over-riding factor in the decisions involving place availability, and I think he will lose that argument.
We will see.