The Government has confirmed that councils will
temporarily be able to use the funding they receive for
the free entitlements for two, three and four-year-olds
differently, redistributing it where absolutely
necessary for the benefit of critical workers and the
parents of the most vulnerable children, when their
usual arrangements are no longer possible as a result
of Coronavirus.
This builds on existing commitments to continue paying
free entitlement funding – worth £3.6 billion a year –
to local authorities throughout the Coronavirus
outbreak. Childcare businesses will also benefit from
other support schemes, including a business rates
holiday, the Small Business grant for those that don’t
pay business rates, the Self-Employment Scheme and the
Coronavirus Job Retention Scheme (CJRS).
On Friday (17 April) the Department for Education
published guidance to
set out how the CJRS and free entitlement funding
interact, confirming that early years providers can
access the CJRS to cover the proportion of their income
considered to have been paid from private income, such
as parent fees. Any setting which sees their early
entitlement funding reduced in order to fund childcare
places elsewhere will be able to increase the
proportion of their salary bill eligible for the CJRS.
New guidance will be published to support councils with
the steps they will need to take if moving around
government funding between settings, where all other
options have been explored and more childcare places
are still needed locally for children for the duration
of the Coronavirus outbreak.
In addition, to provide further support to early years
settings who are staying open for vulnerable children
and children of critical workers, providers will be
given greater flexibility in meeting some of the
requirements in the Early Years Foundation Stage (EYFS)
framework. This is to manage expectations and reduce
burdens during an unpredictable time for the sector.
Children’s safety remains the priority for the duration
of these temporary changes, and safeguarding and
welfare requirements will still remain a requirement
with the exception of a small number of changes,
including staff qualification requirements to allow
flexibility around staffing, in recognition of the
challenges facing employers whose staff may have to
remain at home.
Children’s Minister said:
Our early years professionals are central to this
country’s response to the coronavirus outbreak, and
I’m grateful for their work to continue providing
safe and high-quality childcare for those who need it
the most: critical workers and parents of vulnerable
children.
Councils are best placed to respond to the childcare
needs in their area, so it’s right that we give them
extra support to face these unprecedented challenges.
They can use flexibility to redistribute entitlements
funding in exceptional cases where other options have
been exhausted, helping nurseries and other settings
stay open and making sure enough childcare places are
available.
The government continues to monitor the early years
sector and provide support where possible, including
guidance that is currently regularly updated and a
range of business support available through the
government.
