School-based nurseries plan kicks off with £15 million funding round

Thousands of families are one step closer to accessible, affordable and high-quality early years provision in their local area, as the first stage of the government's plan to deliver 3,000 school-based nurseries begins today.

Primary schools can now apply for up to £150,000 of £15 million capital funding, with the first stage of the plan set to support up to 300 new or expanded nurseries across England.

This comes as 321,462 additional children are now accessing 15 hours of government-funded early education per week, since the government delivered on the promises made to parents for the second phase of the childcare rollout last month.

The work forms part of the government's Opportunity Mission, which will break the unfair link between background and opportunity – starting with giving every child the best start in life and resetting the relationship with the early years sector to boost life chances for children and work choices for parents.

The delivery of this phase has been in no small part due to the brilliant joined-up efforts of local authorities and providers. The Secretary of State has promised a new era of child-centred government and will work alongside the sector to deliver meaningful long-term reform of early years, whilst building the places and workforce that are required for the next more challenging phase.

Importantly, this will be done in a way that makes the hours accessible and affordable for all families that need them. That's why the government is taking action to tackle reported instances of parents facing very high additional charges on top of the funded entitlement hours. 

These could include mandatory extra charges for nappies, lunch or other ‘consumables' – and should not be made a condition of accessing a funded place.

In the coming months, the government will be engaging with local authorities and providers to clarify our statutory guidance on charging, including on so-called ‘top up fees' and consider how we better support local authorities to protect parents from overcharging.

Education Secretary Bridget Phillipson said:

“All children should have the opportunity of a brilliant early education, no matter who they are, where they're from or how much their parents earn.

“Our new school-based nurseries will provide thousands of additional places where they are needed most, plugging historic gaps and making sure geography is no barrier to high quality childcare.

“Whilst some parents may not get their first-choice place next September, I'm determined that every parent is able to access and afford the hours that they are entitled to.”

According to the Department for Education's latest projections, around 70,000 additional places and 35,000 early years educators will still be needed to deliver the expansion to 30 hours next September, with some of the most disadvantaged areas in need of the largest uplifts.

Published for the first time, the projections show that around half of local areas need to increase their capacity by between 10% and 20% to meet demand for September. Some need an uplift of more than 20% - with areas that see traditionally lower household incomes including Northumberland, Plymouth and Rotherham all in this group.

That's why the government is taking action now, and providing schools, private providers and local authorities a clear picture of the department's understanding of demand, and where there are gaps in supply.

Providers and schools are urged to consider the latest data in their bids for the school-based nurseries programme, and work closely with local authorities to outline how proposals will respond to local need and subsequently contribute to the government's plan for an early years system that breaks down barriers to opportunity for children across the country.

While all parts of the sector are valuable to delivering the quality care that our children need, schools are at the heart of our communities. Proportionally, school-based nurseries currently look after more children with special educational needs and offer a higher number of places in the most deprived areas.

School-based nurseries currently have lower turnover and the option to use some staff more flexibly between reception and early primary, and the government is working with the early years sector through our expanded recruitment campaign to attract more people to a career in early years.

To make sure the programme is delivered in a way that continues to support or most vulnerable children and builds on the important offers of the existing market, the school-based nursery funding will be available to projects that are school-run or delivered by private and voluntary providers or childminders.

So that the government can ensure new provision is in the right places and meets the needs of parents, children and schools, schools who are interested in expanding but are not currently ready to apply will be able to register an interest for future phases of the programme.

We expect funding to be allocated to successful schools in Spring 2025 to support delivery for the first cohort of places for the September rollout.

Paul Whiteman, general secretary of the school leader' union, NAHT said:

“School-based nurseries play a vital role in the early years sector. It makes sense that where there is spare capacity in schools and demand in the local area, that the government looks to expand school-based provision.

It will be important that interested schools are well supported through this process, both practically and financially, and that the government continues to focus on building a strong and sustainable early years workforce.

We would encourage schools that are ready to expand or open a nursery to apply for this grant, and for those who may be interested in future to register their interest with the DfE.”

Justine Roberts, Chief Executive Officer, Mumsnet said:

"Accessible, affordable childcare is vital economic infrastructure, enabling women who would otherwise have been forced out of the workforce to choose to stay in work, and benefitting not just them and their families but also the wider economy. 

“The increase in the funded entitlement hours is welcome recognition of this fact, but we still hear all too often from parents on Mumsnet who struggle with top up costs or face shortages of childcare places in their area. 

“These measures will help ensure that all families can access the childcare they need when and where they need it.”

** ENDS**

More information on the school-based nurseries capital grant, its criteria and how schools apply is available on gov.uk.

The Department for Education has developed two sets of guidance to support schools through the bidding process and to clearly outline the requirements for setting up and running school-based nurseries.

The latest MI data on codes issued and validated can be found here.

The Department for Education's latest projections on supply and demand can be found here.

Further supportive stakeholder quotes

Dan Paskins, Executive Director of Policy, Advocacy and Campaigns at Save the Children UK said:

"We welcome this announcement from the Department for Education as we know school-based provision will be a real help to parents and families. This is one of the many measures this Government is taking that will help children have the best start in life.

"Local authorities now have a vital role in how this expansion of nurseries takes shape and can actively broker partnerships between schools and private and voluntary providers."

Further announcements today

Safeguarding consultation response

To make sure that growth never comes at the cost of quality, the government has also today announced a series of proposed changes to the Early Years Foundation Stage safeguarding requirements.

Updates including safer recruitment practices and new safeguarding training criteria, as well as new requirements to ensure safer eating will be implemented from September 2025, helping to improve children's safety and align with current best practice in early years settings.

The Department's response to the consultation on proposals to strengthen Early Years Foundation Stage (EYFS) safeguarding requirements can be found on gov.uk.

Flexibilities for childminders

Childminders are another key part of the childcare market, providing more choice and flexibility to parents. From next month, the government plans to implement new flexibilities to help childminders join and stay in the profession.

These include enabling childminders to work from non-domestic premises all of the time and increasing the number of childminders that can work together – improving access for children to new experiences out of the home and encouraging socialisation.

Find out more about the increased flexibilities for childminders included in the Levelling Up and Regeneration Act (LURA).

To note: Above links to go live from 9.30am on Thursday 17^th October