The Winter Gardens pre-school in Canvey Island is the second Essex setting in a fortnight to warn that it cannot continue operating if the capital funding is clawed back by the Department for Education.
The pre-school, which is based on the site of Winter Gardens primary school, has moved out of its old accommodation and is running from the school's community hall. However, it can only use the community hall until March.
Last week, a nursery owner who was awarded £1.2m in capital funding told Nursery World that one of her settings, which is also based on a school site, will have to close if the funding is withheld.
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