Childcare and Early Years Funding: Changes to Funding

Childcare and Early Years Funding: Changes to Funding
Enlarge

The Department for Education (DfE) is consulting on proposals to change funding for free childcare and early years education. Complete their survey and have your say.

Major changes designed to deliver a fairer funding system for nurseries, pre-schools, and childminders were set out by Education Secretary Justine Greening on 11 August 2016. This was as part of the government’s manifesto commitment to support ordinary working families with the cost of childcare.

 The proposals include:

  • Introducing a new early years national funding formula for 3 and 4-year-olds;
  • Changing the way local authorities fund the early years providers in their area; and
  • Making sure that children with special educational needs or disabilities attract the extra funding they need.


The new funding formula will replace the current system, which is based on how much a council has historically spent rather than how much it actually costs to meet the local need. This approach gives settings who provide early years care the financial support they need to deliver the 30-hour free childcare offer to working families.

The government is already providing more support to families by investing record amounts into childcare - rising from £5 billion to £6 billion per year by the end of the Parliament - helping to double free childcare to 30 hours for working parents of 3- and 4-year-olds.

Education Secretary, Justine Greening said:

“We are committed to making sure this is a country that works for everyone, not just the privileged few. Education lies at the heart of this ambition and the early years are crucial to giving every child the best start in life.

“We are working with nurseries, pre-schools, and childminders to support working parents with the costs of raising a family, doubling our free childcare offer to 30 hours for working parents of 3- and 4-year-olds. But to deliver on that commitment we know we must give every area of the country the funding it needs.”

Have your say in the consultation by completing the online survey.

Deadline for completing this survey is 22 Sep 2016.

Return to news