Funding
​​​
Over the last year, Government funding arrangements for early years childcare have changed considerably. Although more families are now eligible for increased funded hours, the way this funding is delivered has also shifted and it does not reflect the costs associated with providing the high quality childcare that Early Days is known for. Navigating these changes to remain compliant has taken significant time and careful consideration, and at times has been challenging. We have worked hard to understand the updated guidance; consulted with other childcare providers and nursery associations; taken legal advice; reviewed our operating costs in detail; and explored options to ensure we move forward in a way that is fair, sustainable, and in line with Early Days' values and ethos.
​
​While Government funding is a valuable support for families, it does not fully reflect what is involved in delivering high-quality early years education. Like many childcare settings, this means we have to manage our budget very carefully to continue offering the level of care we believe children deserve. Funding rates are based on basic EYFS requirements, such as minimum staff-to-child ratios, but they do not take into account the additional steps we take to support children. This includes the higher staffing levels we choose to maintain; the experience and qualifications of our team; the quality of our learning environment; the resources and equipment we invest in; and the extra activities we offer as standard.
‘
Early Education Entitlement’ is funded education for all 3 and 4 year olds and some children under the age of three that meet certain eligibility criteria. Funding is distributed by the local authorities who set the level of funding received, which differs between county to county, and is provided for 38 weeks of the academic year.
​​
When does funding commence?
Children who are eligible for funded educational hours receive these from the term after they have reached the required age level (9 months, 2 years or 3 years).
​
For children eligibile for 9 month old funding:
​​ A Child Born On or Between Can Access their Free Entitlement From​
1st July - 30th November Autumn Term (September onwards)
1st December - 31st March Spring Term (January onwards)
1st April - 30th June Summer Term (April onwards)
​
For children eligibile for 2, 3 and 4 year old funding:
A Child Born On or Between Can Access their Free Entitlement From​
1st April - 31st August Autumn Term (September onwards)
1st September - 31st December Spring Term (January onwards)
1st January - 31st March Summer Term (April onwards)
​
Please note that children joining the setting at the end of July/August will not be able to claim funding until 1st September, even if they meet the eligibility criteria. This is due to cut off dates set by the Local Authority.
​​​​​
Who is eligible to receive funding?
Starting from the term after a child turns 9 months old, SOME children meeting certain eligibility criteria are entitled to receive working parent entitlement equating to 30 hours of funding. If you are eligible for this level of funding and remain within the eligibility criteria, you will automatically continue to receive 30 hours of funding when your child progresses to 2 year old, 3 year old and 4 year old funding.
​
Starting from the term after their second birthday, SOME children meeting certain eligibility criteria are entitled to receive working parent entitlement of 30 hours of funding. If eligible, much like with 9 month old funding, if eligibility continues, children will continue to receive 30 hours of funding when they turn 3 and 4 years old.. In addition, CERTAIN low income or ‘disadvantaged’ families of two year olds are allowed to receive 15 hours of funding.
​
Starting from the term after their third birthday, ALL children are entitled to 15 hours of “universal” funding. SOME children are eligible for the “working parent” entitlement of a further 15 hours of funding and so they will receive a total of 30 hours. If you have not been eligible for 9 month or 2 year old funding, you will receive the 15 hours when your child turns 3 (irrespective of previous entitlement). All those families qualifying for 30 hours of funding at 9 months and 2 years will automatically receive 30 hours, providing they remain eligible.
​
To be eligible for the working parent entitlement at all age levels, the following criteria set by the Government, is used to determine eligibility (this eligibility criteria applies to each parent or carer in dual-parent households and the lone parent or carer in lone-parent households):
​
Each parent or carer must:
​
-
earn more than the equivalent of 16 hours at the national living wage or minimum wage per week. This means that over the next three months, you expect to earn at least £2,539 before tax ( the National Living Wage if you are 21 or older).
​​
There is no requirement to work a certain number of hours per week – it is all about how much you earn. This means that, for example, if you only work 10 hours a week but earn £20 per hour, you will meet the minimum earning threshold.
​
AND
​
-
earn less than £100,000 per year. Again, this applies to each parent and carer in a dual-parent household. This means that if one parent earned £101,000 and the other earned £20,000, a family would not be eligible, but if both parents earned £99,000, the family would be eligible.
​
For low income families who are on income support and/or universal credit and have a child aged 2 years old, 15 hours of funding is available for ‘disadvantaged’ children. This specific level of funding, unlike the working parent entitlement, must be applied for directly through Oxfordshire County Council at www.oxfordshire.gov.uk/twoyearoldfunding. Please reach out to our Nursery Manager for additional information if you are eligible for this level of funding.
​
Checking your eligibility for working parent and 'extended' entitlement
Please note that when a funded place is offered for your child, this is provisional and is dependent on parents completing the required steps to secure the funding. This includes registering on the Government website and doing so by the published deadlines. If you have accepted a provisional funded space and you have not secured your funding, families will be charged our non-funded rate for sessions.
​
We kindly encourage all parents to visit Best Start in Life to check their eligibility for funded childcare for 9–23-month-olds, 2-year-olds, or the 3–4-year-old working parent entitlement — even if you’re unsure whether you qualify. This government website provides clear information about eligibility and explains when funding can start, based on your child’s date of birth. If you are eligible, you will be issued with an 11-digit code, which you will need to share with us so we can claim the funding on your behalf. All children are automatically entitled to 15 hours of funding from the term after they turn three, regardless of working parent eligibility.
​
How We Apply Funding and What you can Expect to Pay
As we are a 51 week setting, we spread (or “stretch”) the funded hours across the full year. Government funding is usually calculated over 38 weeks, so stretching it allows your funding to be used more evenly throughout the year. In practice, this means your child’s funded entitlement works out as up to 11 hours per week for the 15-hour entitlement, or up to 22 hours per week for the 30-hour entitlement, spread across all 51 weeks. This helps keep funding consistent and means your invoices remain more stable from month to month. These hours are applied as 5.5 hours of funding per day, for up to four days a week. Where possible, and if funding allows, we may also apply funding to breakfast and tea club sessions to help make the most of your entitlement. Please note that with rounding, this means that the maximum of funded hours available will not be exhausted.
​
Many children are now eligible for up to 30 hours of funded childcare. While this funding is a helpful support for families, it does not cover the full cost of providing high-quality care and education. At Early Days, we offer more than the basic childcare provision. We aim to give children access to a wide range of enriching experiences, resources, and activities as part of the high-quality service we provide. Government funding is designed to support early learning, but it does not include everything we offer.
​Some additional services, experiences, and resources sit outside of the funded entitlement and are therefore optional and chargeable. Government guidance for funding states that providers can make additional charges provided these are not a condition of accessing the funded space. Allowable charges are:
​
-
Consumables used by the child, such as nappies
-
Meals and snacks consumed by the child
-
Extra optional activities/other activities that are not directly or necessary for the effective delivery of the Early Years Foundation Stage (EYFS) statutory framework (we refer to this as ‘enhanced’ provision as it goes above and beyond the basic EYFS requirements);
-
Additional, private paid hours according to a Provider’s usual terms and conditions
The simple reality is that Government funding does not cover the cost of providing the enhanced provision that we offer at Early Days. With the latest Government guidance making additional charges non-mandatory, this has put considerable strain on all nursery settings to remain financially viable. Without additional income on top of funding, we would not be able to survive or we would have to significantly cut back on the services/staff ratios/learning opportunities provided to children in our care.
​​
Meals
We take great pride in our Five Star Food Hygiene rating and in providing healthy, nutritious meals. All food is freshly prepared by our in-house chef and adheres to established nutritional guidelines. Children receive two snacks daily (morning and afternoon) and a two-course hot lunch. Those children attending from 7:30 am are also served breakfast, and children staying beyond 4:00 pm receive a freshly prepared tea. A great deal of thought and planning goes into our menus to ensure they meet health standards and take allergies and dietary needs into account. To support a calm and enjoyable mealtime, we also employ additional staff to help supervise the lunch period.
When all children are served the same meals, we have found they are more likely to try new foods and eat more than they might at home. Over the years, many parents have told us their children have become less fussy and more adventurous eaters thanks to the variety of foods we offer.
​
We also see mealtimes as valuable learning opportunities. Children practice table manners, develop dexterity using cutlery, learn to serve themselves, and gain confidence through setting tables and clearing away. These shared experiences promote independence and important social skills.
Consumables – Nappies/Wipes, etc
We have two levels of nappy costs: For babies and toddlers still in nappies and a transitioning charge for those that are toilet training, as we know those little accidents can still happen.
​
Enhanced Provision
As already stated, funding covers the cost of basic EYFS provision. At Early Days, we offer a more enriched programme for the children in our care. The document at the bottom of this page outlines the additional activities we provide that go beyond the standard expectations of the EYFS framework and forms the basis of our Activities/Enhanced Provision charge.
​
Opting In/Opting Out
As all charges over and above funded entitlement are non-mandatory, we now ask parents whether they would like to Opt In or Opt Out of additional charges. Parents choosing to Opt Out will need to comply with all the Opt Out alternatives as outlined in our Opt In/Opt Out Agreement which includes complying with our food brought in from home policy. Parents also need to be aware of the liability implications, as our own insurance policy does not allow for food brought into the nursery when we cannot control its preparation or contents.
If not enough parents in our setting choose to opt in, many of the enhanced programme elements Early Days is known for will either be substantially reduced to a basic provision level or will need to be removed from our programme altogether as we simply will not be able to afford the costs of running them.
​
All our fees are clearly detailed on our Fee Sheet. Please note that the Opt In charges detailed in our Opt In/Opt Out Agreement do not include the cost of the 1.75 additional hours, which form part of our 8.45 am to 4.00 pm programme, which are also non-mandatory when taking up a funded place.
Most families choose to pay the non-mandatory additional charges for meals, enhanced provision and additional hours so their child can take full advantage of the experiences we offer at Early Days. However, we understand that this may not be the case for every family. We are here to help so those low income/disadvantaged families and those wishing to opt out, please speak to the Nursery Manager in confidence.
Please note that children attending and using only funded hours with no additional charges will not be subject to a registration fee. If one has been paid to secure a space on our waiting list, this will be refunded to you.
​
Basic vs Enhanced EYFS Proviision
​
​​
​​​
