Early Years Funding

Early years funding supports the national scheme administered by local authorities to offer free early learning and childcare places to all three and four and eligible two year olds. On this page you will be able to find out about the agreed funding rates for two, three and four years olds and Early Years Pupil Premium.

Further information on available funding is available on the Early Years SEND funding page.

Two, three & four year olds funding

Schools Forum agreed that the Early Years Funding Formula (EYFF) would be based on the following:

  • a universal base rate for all types of provider
  • a supplementary funding rate for maintained nursery schools
  • deprivation payments to be made across IDACI bands 1-6, with a higher payment weighting for IDACI bands 4-6
  • 4.5% of the over all Early Years budget for 3 and 4 year olds to be allocated to the following supplements: Quality Supplement for system leadership (0.3%) and workforce development; and Deprivation (4.2%)

Therefore in 2019-20 Schools Forum agreed Early Years providers will receive:

Two year old funding of £5.66 per hour eligible two year olds for all providers. 

Three and four year old funding made up of:

  • A base rate of £4.85 per hour for all providers
  • Maintained Nursery Schools will receive £1.71 per hour in addition to this base rate  
  • Deprivation supplements - IDACI band payments will be paid per hour where eligible at the following levels: Band 1 £0.10 per hour; Band 2 £0.20 per hour; Band 3 £0.30 per hour; Band 4 £0.55 per hour; Band 5 £0.75 per hour; and Band 6 £0.90 per hour. 

Appendix B of the Schools Forum paper presented on 13 February outlined the indicative budgets for 2019-20 for all Early Years providers. 

Eligibility criteria for two year old FEEE and 30hrs FEEE can be found on the Early Years Eligibility Checker page. 

 

Early Years Pupil Premium funding

The Early Years Pupil Premium (EYPP) is additional funding aimed to improve the education they provide for disadvantaged three and four year olds. Providers receive £0.53 per hour attended by the eligible child (totalling £302.10 per year). It applies to children in a free early education place from April 2015.

The EYPP is child-specific in addition to the standard hourly rate for three and four year olds (detailed above). Hours must be reported via the headcount returns and will be paid in arrears as part of the termly reconciliation.

Responsibilities of Early Years providers

Early years providers are responsible for:

  • Identifying which children may be eligible for the EYPP; and
  • Passing that information on to the local authority via the Headcount returns.

EYPP eligibility criteria can be found on the Early Years Eligibility Checker page. 

Providers must provide a code proving a child’s eligibility in order to receive the additional funding. It is recommended that FEEE providers implement a universal request, as part of their standard admissions process, for all parents to complete the Early Years Eligibility Checker that will generate an eligibility code. By embedding into the standard admissions process parents/carers are not stigmatised and settings reduce the possibly of missing out on additional funding.

How to spend your Early Years Pupil Premium

Deprivation Supplement Funding 

Deprivation Supplement Funding payments are based on children’s postcode data submitted by settings. Deprivation supplement funding is NOT child specific and can be used to support any disadvantaged, vulnerable or children with SEND who are taking up their Free Early Education Entitlement at your setting.

Deprivation supplement funding can be used by your school/setting throughout the year to close the gap between the attainment of the most disadvantaged children and their peers. Full details regarding deprivation funding is outlined in the FEEE Financial Guidance.

Downloads

Indicative budget 2019-20

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Final hourly rates 2019-20

Final hourly rates and estimated delivery hours 2019-20

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Deprivation Supplement payments 2019-20

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FEEE 2019-20 monthly payment calculator

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Last update: Thursday 2nd of May 2019 09:03:55 AM