Nursery World - DfE launches consultation on proposed funding formula for 30 hours expansion

The DfE has launched its consultation on its new proposed ‘fair funding formula’ for the delivery of the extension of the funded hours for children from nine months old, starting from April.

The proposed new funding formula for the extension of the funded hours has been put out for consultation by the DfE

As part of the consultation, illustrative local authority hourly funding rates have been set-out. Under the proposed formula, the DfE expects average funding rates of £8.17 for two-year-olds and £11.06 for under-twos in 2024/25.

It says this makes the Government rate for under-twos, double the average hourly fee of £5.68 charged to parents.

The proposed formula provides additional funding for areas of deprivation. It also extends eligibility for additional disability funding and for the early years pupil premium down to nine months old.

Final 2024-25 hourly funding rates for local authorities for all age groups will be confirmed in the autumn, says the DfE.

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