The NDNA said earlier this week that the decision by the Department for Education and Skills from last autumn to stop ring-fencing nursery education grant funds for local authorities had meant that some authorities were not passing on all of the grant money to day nurseries. As a result, some nurseries were wondering whether to withdraw from the scheme because they were losing money on it.
Rosemary Murphy, NDNA chief executive, said, 'We have a contract with the Government to deliver nursery education, but it did not tell us that the nursery education grant would no longer be ring-fenced from last autumn.
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