Mendip House Nursery and Pre-school in Weston-super-Mare, Somerset, lost out after a child began the term there but left before he could be registered for the free entitlement. When he registered elsewhere, the entire funding automatically went to his new nursery.
North Somerset County Council - one of the original nine pathfinders in the Early Years Single Funding Formula (EYSFF) - is currently consulting with providers to try to improve funding methods.
Anna Latham, head of nursery, told Nursery World, 'We've written letters to everyone, including Vince Cable, the business Secretary, and North Somerset Council. We've done this because at the moment there are many issues and concerns about the funding and there are additional costs, like the proposed new pensions contributions and VAT rise.
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