The rate of providing the 30hrs free childcare has been revealed
The hourly rate for 30hrs free childcare for 3 to 4 year olds has been revealed to be an average of £4.88 per hour. Do Early Years settings still think this is enough is the question. For many nurseries they will still have to go away and do there figures to see if this is sustainable. However these figures do include the Early Years Pupil Premium funding. For nurseries providing the 2 years funding there will be an increase from a 5.09 to 5.39 an hour, again this is an average amount.
There is still some uncertainty as to how this new rate will be distributed across different local authorities, as early years funding rates vary from local authorities to local authorities.
The new funding rates will come into place from September 2017, they have been revealed in light of the Governments review into how much it is costing early years settings to deliver the free early education entitlement.
The announcements of the rates were disclosed in parliament during the second reading of the Childcare Bill.
Childcare minister Sam Gyimah said, ‘The findings of the review – the first of its kind by Government – have formed the evidence base for our decisions at the Autumn Spending Review.
‘On the basis of this review, I am pleased to be able to confirm that the Government is allocating funding for a substantial uplift to the funding rate.
It has been said that over a £1 billion per year by 2019-20 will be invested, including £300 for the 2, 3, 4 year old entitlement.
But why has the Early Years Pupil Premium been included in this new rate, therefore has there really been an increase in the hourly rate?. The Early Years Pupil Premium is at present an additional funding that is only available for those families that are eligible, so again how will this work with it being included in the hour rate?
Beatrice Merrick, chief executive of Early Education, said, ‘The statement that the proposed rate “includes EYPP” has not yet been explained to clarify whether EYPP will continue as a separate payment, and if so what the rates with and without it will be. While the current system of EYPP payments has much room for improvement, if the sector is to commit to making best use of EYPP, it needs to know in what form that funding will be distributed in future, and at what rate. We hope ministers will clarify this swiftly.