Campaigners in Poole, Dorset, say that more than 30 local settings have signed a statement against the council's application, as they stand to lose thousands of pounds a year under the local authority's proposed single funding formula base rate of £2.74 per hour per child, which is 70 pence per hour less than the settings currently receive.
Part-time settings will be particularly badly hit, as some of their funding will be provided on a prorata basis. Private settings will be able to apply for a supplement of 36 pence more per child per hour to help ensure their profitability, but voluntary settings are ineligible.
Antony MacRow-Wood, from St George's Pre-school, said, 'We raised our objections with the council all the way through the consultation process, but they had no interest in anything we said. It has destroyed my faith in local government. When there is a consultation process you expect it to be meaningful, but we are just being railroaded. The council is just going through the motions in order to tick a box.'
Rector MacRow-Wood has notified the council that the pre-school may drop its voluntary status and register as a community interest company under the Companies Act 2006.
Ray Stanyon, chair of the Canford Heath URC Pre-school, said, 'We would be around £6,500 per year worse off under this formula. The council says these changes are to improve standards, so why are they changing our funding in a way that will have a negative impact on our practice? We are doing all we can to appeal to the DCSF not to let the council go ahead and implement this formula. The consultation process was not adequate.'
Vicky Wales, head of Children and Young People's Integrated Services at the borough of Poole, said, 'This is about raising the quality of early years provision for threeand four-year-olds in Poole, ensuring all children, regardless of background, receive the same quality early years education. We have been working with providers for two years to ensure the formula is constructed in a way that meets their cost demands while addressing issues they raised, including the quality of provision and providing additional support to disadvantaged children.
'We understand the concerns of some providers and as a result have devised a two-year transitional protection plan, which includes funding and business support to help those who may be impacted by a reduction.'
Purnima Tanuku, chief executive of the National Day Nurseries Association, said, 'Any application to be a pathfinder has to have the support of the Schools Forum and it is worrying that the impact on a range of providers does not seem to have been taken into account when agreeing to the application.'
