A Department for Education spokesperson said:
“Nurseries, preschools and childminders are integral to this
country’s recovery from the coronavirus pandemic. That’s why we
set out from the start that we would continue providing councils
with funding for free childcare entitlements for 2,3 and 4
year-olds, even if settings were closed – which the IFS itself
acknowledges has helped protect the sector.
“Early years settings have received significant financial support
over the past months and will benefit from a planned £3.6 billion
funding package in 2020-21 for free early education and childcare
places. We are providing extra stability and reassurance to
nurseries and childminders that are open by ‘block-buying’
childcare places for the rest of this year at the level we would
have funded before coronavirus – regardless of how many children
are attending.”
Background information:
-
Guidance to local
authorities sets out that they should continue fund early years
providers who are open and offering their usual entitlements
places at broadly the levels they would have expected to see in
the 2020 autumn term had there been no coronavirus (COVID-19)
outbreak. Local authorities should also continue to fund
providers which have been advised to close, or left with no
option to close, due to public health reasons. Local
authorities should not fund providers who are closed in the
autumn term for non-public health reasons.
-
During the pandemic, childcare businesses have benefited
from support including a business rates holiday for one year
which means non-local authority childcare providers will pay no
business rates in 2020-21, a £10,000 grant for businesses too
small to pay business rates, business loans and the Coronavirus
Job Retention and Self Employment Income Support
Schemes.
- We have been clear
that funding for our free early years entitlements hours for 2, 3
and 4 year olds would continue even if settings didn’t open,
meaning that, on average, 50% of their income was paid to
councils even if settings were closed – that’s more than any
other business sector.
-
Providers will not face a rise in fees to register with
Ofsted in 2020-21.
-
We are also investing in early years organisations to
help them boost disadvantaged children’s development, with
grants targeted at improving outcomes for young children at
risk of falling behind by age five, and for those with special
educational needs.
-
The Children’s Minister spoke recently to Nursery World
about funding for the early years sector and the article can be
seen here: https://www.nurseryworld.co.uk/news/article/exclusive-children-s-minister-defends-coronavirus-crisis-funding-for-early-years
